India Spent Rs 1.5 Tn on Smart Cities in Past 10 Years

25 Apr 2025 CW Team

The Indian government launched the Smart Cities Mission on June 15, 2015, with the goal of transforming urban infrastructure across the country. As of April 11, 2025, ten years since its inception, over Rs 1.5 trillion has been spent on 7,504 completed projects, representing 94 per cent of the total planned projects valued at more than Rs 1.64 trillion. An additional Rs 131.42 billion worth of projects are currently under implementation.

According to data from SBI Research, 92 per cent of the funds were utilised across 21 major states, with Uttar Pradesh, Tamil Nadu, and Maharashtra together accounting for nearly one-third of the total expenditure. Of the total amount spent, 31 per cent—equivalent to Rs 517.25 billion—was directed towards the top 25 cities, which include Varanasi (Uttar Pradesh), New Town (West Bengal), Srinagar (Jammu and Kashmir), Raipur (Chhattisgarh), and Indore (Madhya Pradesh).

Nearly half of the total funds have been allocated to projects focused on improving mobility and water/sanitation, which together make up more than 3,000 initiatives.

The Smart Cities Mission operates as a Centrally Sponsored Scheme, under which the Union government provides financial assistance of up to Rs 480 billion over five years. This translates to an average support of Rs 1 billion per city annually. The state governments are required to match this funding with an equal contribution.

News source: CNBC TV18

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