The urban population explosion is expected to be a whooping 40% of the total population by 2030 from 29% at present. The major reason for such growth is the great rural-urban divide in terms of available earning opportunities and civic facilities, besides large growth in IT-ITES investment in the major urban locations of India. But at the same time, urban India today faces serious challenges of growth and its management also. Across geographies, the issues of urbanization manifest in the form of overcrowding, congestion, insufficient infrastructure, inadequate service provisioning – mainly in terms of drinking water, sanitation, energy, transport solid waste management,environmental degradation and pollution etc. Against this backdrop, the present paper highlights the major challenges for the development of urban infrastructure in India.

1. Bagchi, S. & Chotopadhyay, S . , “Decentralized Urban Governance in India: Implications for Financing of Urban Infrastructure” Economic and Political Weekly, December 4, 2004, Mumbai.
2. Bertaud, A., Buckley, R. (et al) “Is Urban Policy Impoverishing?” World Bank, Urban Research Symposium Paper, December 2003.
3. Census of India 2001, Govt. of India, New Delhi.
4. Chandra Sekhar Y. (ed); Urban Infrastructure: An Introduction, The ICFAI Univer sity Press, Hyderabad,2005.
5. Garg, S.C., “Mobilising Urban Infrastructure Finance in India in a Responsible Fiscal Framework”.
6. Henderson, V. “The Effects of Urban Concentration on Economic Growth”, NBER working Paper 7503, January 2000.
7. Knaap, G & Hopkins, L.D. “Managing Urban Growth with Urban Growth Boundaries: A Theoretica; Analysis”, Journal of Urban Economics 46, 53-68 (1999)
8. Kumar, S & Prasad, C. J. “Public- Pr i va te Par tnerships in Urban I n fra s t r u c tur e ”, Kerala Cal l i n g, February 2004. 22 | Srusti Management Review Jan.-Jun. 2010 Dr. Pradeepta Kumar Samanta*
9. Kundu, A., “Urban Development, I n fra s t r u c ture Financing and Emergence System of Governance in India: A Perspective.
10. Mohanty, P. K. “Applying Urban Economics to City Development and Financing in India”, Paper presented at Dept. of Economics, University of Mumbai, March 2002.
11.Mukhopadhyay, P., “Whither Urban Renewal?” Economic and Political Weekly, March 11, 2006, Mumbai.
12.Pani, N. “Dressing Up the Urban Cr i s i s ”, The Economic Ti m e s , Hyderabad, May, 5, 2006.
13.Pethe, A. & Ghodke, M., “Funding Urban Infra s t r u c ture: From Government to Markets” Economic and Political Weekly, June 22, 2002, Mumbai.
14.Suresh, V., “Innovative Infrastructure Financing”.
15.Tewari, V., “Municipal Reforms for Susta i n a b le Urban Infrastruc ture Development in India”, Paper presented at the United Nations Asia Pacific Leadership Forum, Hong Kong, 25-27 February, 2004.
16.“Urban Infrastructure” The Tenth Plan Document, Ministry of Planning and Implementation, Govt. of India, New Delhi.