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  1. 1. Future Cities Ensuring world class civic amenities in urban India
  2. 2. Rural and Urban Areas Rural RBI definition: areas with population <49,000 and have panchayat system Rural areas contribute to GDP through agriculture, self employment, etc. Account for 33% of FMCG sales Urban Place with municipality, cantonment board, townships Minimum population of 5000 and population density of 400/sq.m At least 75% population not involved in agriculture
  3. 3.  Urbanization is defined as a shift of human population from farming to non-farming economic activities  Urbanization is closely linked to modernization, industrialization and sociological process of rationalization  Delhi has the fastest growing urban population in the world What is Urbanization? 0 2 4 6 Delhi Mumbai Kolkata Bangalore Rate of Urbanization Percent growth Source: Census of India 2011
  4. 4. Problems Very high rate Illegal land grabbing Slums Low standard of living Solutions Strong administration Cities with future planning Incorporate informal economy in urban development Spatial Planning Urbanization Implementation Efficient public transport Develop areas in the out skirts of the city Funding, governance, planning Vertical expansion Challenges Corruption Weak administration High population Limited land
  5. 5.  Industrial revolution  Expansion of govt. services after WWII  1991 economic reforms  11th five year plan: Urbanization  Growth of private sector Causes of urbanization in India
  6. 6. India’s Urban Challenge  India’s fastest urbanizing states: Haryana, Karnataka, Tamil Nadu  No urban decentralization in these states  Year 2030: urban share of GDP expected to be 75%  Congestion, pollution, vast proportions of uninhabitable accommodation and impoverished living standards characterize most fast-growing Indian cities
  7. 7. India’s Urban Challenge
  8. 8.  20 years after economic liberalization, devolution of powers to panchayats, municipalities, city corporations is highly neglected  Improve villages rather than expanding cities  Make the local bodies more accountable  Increase the quality of life in rural India  Decongest cities Urban Decentralization: Foresaken opportunity
  9. 9.  Year 2030: Expected urban India population 590 million  Potential to unlock new growth markets in cities like infrastructure, transportation, healthcare, education, and recreation  To meet urban demand, 700-900 million square meters of residential and commercial space needed a year  350 to 400 kms of metros and subways needed every year  Between 19,000 and 25,000 kilometers of road lanes would need to be built every year Road ahead
  10. 10.  Cities can also deliver a higher quality of life  Urban scale benefits mean the cost of delivering basic services is 30 to 40 percent cheaper in concentrated population centers than in sparsely populated areas  Policy changes in India  In per capita terms, India's annual capital spending of $17 is only 14 percent of China’s $116 and less than 6 percent of New York's $292  India needs to invest $1.2 trillion just in capital expenditure in its cities over the next 20 years, almost eight times the level of spending today Road ahead
  11. 11.  Mckinsey report  Census India 2011  Mint ( Page/DQwAhxYdc7BJn53pVs2OeP/Indias-urban- challenge.html)  UN Habitat report  Reserve Bank of India Bibliography