India needs $ 250 billion over the next 20 years for the basic urban infrastructure and this offers huge investment opportunities for international investors, said Urban Development Minister Venkaiah Naidu M. country.
He said the government is committed to promoting domestic and foreign private investment in a big way.
The minister told XI World Congress of Metropolis, which began here today that the government has decided to allow foreign direct investment (FDI) in infrastructure.
"According to estimates by a committee of high power, India needs $ 250 billion over 20 years to implement the basic urban infrastructure in transport, water supply, sanitation and solid waste in peace," he said speaking at the inaugural session of the conference.
Over 1,000 participants, including 135 from 40 countries attending the five-day conference to discuss and deliberate on various aspects of decision-inclusive urban cities with the event theme is "Cities for All '.
Telangana and Andhra Pradesh Governor E.S.L. Narasimhan opened the conference held in India for the first time in Metropolis, the global association of cities and metropolitan regions with more than one million inhabitants.
Chief Minister K. Chandrasekhar Rao Telangana also addressed the inaugural session.
Stating that more than 50 percent of India's population will be living in urban areas in 2050, Venkaiah Naidu this is a challenge, but the government wants to turn it into an opportunity.
The minister described the governance and finance as two obvious challenges of urbanization in India. He said that urban areas are the engines of economic growth, contributing 60 percent of Gross Domestic Product (GDP).
"This is expected to go up to 75 percent of 10 to 15 years," he said.
Naidu said the efficient and effective urban management planning are critical to allow development that is sustainable in social, economic and ecological terms.
He told delegates that the Modi government plans to develop 100 smart cities as satellite towns of the largest cities and the modernization of existing medium-sized cities.
The minister said the central government and the states have identified 25 urban governance reforms to bring transparency and accountability.
At the suggestion of Telangana chief minister to give police powers to urban bodies, Naidu said that this is a new idea, but needs to be discussed across the country for a consensus.
