Home India Yogi government aims to foster self-reliance among urban local bodies and increase their income.
India - July 5, 2024

Yogi government aims to foster self-reliance among urban local bodies and increase their income.

Lucknow : The Yogi government strives to make local bodies self-reliant and enhance their income. The government aims to fortify all urban local bodies (ULBs) by making substantial investments in their infrastructure and services, transforming them into significant sources of revenue and enabling them to contribute effectively to the goal of a $1 trillion economy.

This initiative will boost the income of municipal corporations, municipalities, and nagar panchayats. 

*Urban local bodies will select 38 projects in a phased manner*

The proposed investments will focus on administrative and utility infrastructure, including office buildings, urban kiosks, mechanized and other types of parking, and road junctions. The plan also includes livelihood centers and economic infrastructure such as co-working spaces, urban fairs, food street hubs, and digital streets. 

Heritage and cultural infrastructure will encompass heritage streets, conservation projects, museums, exhibition spaces, galleries, urban art decor, and statues.  Social amenities such as urban community centers, marriage halls, retirement homes, senior care centers, hostels for working women and men, auditoriums, and urban cafes will be integrated.

Public health infrastructure investments will cover pet clinics, parks, open gyms, and multipurpose sports facilities. Furthermore, environmental upgrades will feature urban wetlands, forests, nurseries, and horticulture projects.

Funds for infrastructure investment will be allocated in proportion to the tax revenue collected by the urban local body and its contribution. The selection of infrastructure projects will adhere to the criteria outlined in the guidelines, with the size of the urban local body being a significant factor in the decision-making process. 

Projects with the potential for public-private partnership (PPP) proposals will receive priority. The urban local body will provide the land required to construct these infrastructure projects.

Funds for infrastructure investment will be sourced from the revenues of urban local bodies or through public-private partnerships (PPP). 

Additionally, budget allocations will be made under state and central schemes, as well as from SFC and CFC funds. 

Infrastructure investments can also be made from MPs’ and MLAs’ funds, while CSOs and international bodies can contribute through their CSR funds. 

Regarding fund distribution, one option proposes allocating 40% to Municipal Corporations, 40% to Municipal Councils, and 20% to Nagar Panchayats. Alternatively, a second option suggests distributing 50% to Municipal Corporations, 25% to Municipal Councils, and 25% to Nagar Panchayats.

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