Bhubaneswar: Cities cannot be governed from state capitals and need empowered local governments with real powers and financial independence, NITI Aayog Member Rajiv Gauba said on Sunday, addressing the valedictory session of the 2nd National Urban Conclave, ANI reported.

Source: ANI, via LatestLY

Gauba called for directly elected mayors with five-year terms, a Mayor-in-Council system and timely municipal elections to strengthen urban governance, according to a NITI Aayog release cited by ANI. He also urged states to transfer all 18 functions listed under the 74th Constitutional Amendment to urban local bodies, including urban planning, water supply, fire services and traffic management.

Source: ANI, via LatestLY

The push comes as India's urban population is projected to rise from around 50 crore (yaani 500 million) at present to 85 crore (yaani 850 million) by 2050, with nearly half the country's population expected to live in cities, ANI said. Gauba said meeting the housing, infrastructure and basic-service needs of that population would require fundamental changes in how cities are planned, governed and financed.

Source: ANI, via LatestLY

50 crore -> 85 croreProjected rise in India's urban population by 2050, cited at the conclave
18 functionsFunctions under the 74th Constitutional Amendment that Gauba said states should devolve to urban local bodies

Gauba, a former Cabinet Secretary, said the budgetary outlay for the urban sector has grown 10-fold since 2014, with missions such as Smart Cities, AMRUT, Pradhan Mantri Awas Yojana, Swachh Bharat and the Urban Livelihoods Mission, and that about Rs 3.7 lakh crore (yaani Rs 370,000 crore) has been invested in metro rail and bus systems, IANS reported.

Source: IANS, via HiIndia

He pointed to the Rs 1 lakh crore Urban Challenge Fund announced in the 2025-26 Budget to develop cities as growth hubs, and this year's budget allocation of Rs 5,000 crore each for seven city economic regions over five years, IANS said. Referring to the joint NITI Aayog and Ministry of Housing and Urban Affairs report 'Moving Towards Effective City Governance', he said municipal revenues remain low and property-tax and user-charge recovery must improve.

Source: IANS, via HiIndia

Sources: ANI report via LatestLY, October 25, 2026; IANS report via HiIndia and NewKerala, October 25, 2026.

Source: ANI, via LatestLY