Urban Infrastructure

The India Infrastructure Report, 1996 estimates the annual investment need for urban water supply, sanitation and roads at about 28,035 crores for the next ten years. The Central Public Health Engineering (CPHEEO) has estimated the requirement of funds for 100 percent coverage of the urban population under safe water supply and sanitation services by the year 2021 at Rs.172,905 crores. Estimates by Rail India Technical and Economic Services (RITES) indicate that the amount required for urban transport infrastructure investment in cities with population 100,000 or more during the next 20 years would be of the order of Rs.207,000 crore. Obviously, sums of these magnitudes can not be located from within the budgetary resources of Central, State and Local Governments. A compulsion has, therefore, arisen to access financial resources from the market and induce the private sector to participate in urban development programmes.

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