In a move aimed at accelerating urban development, the Gujarat government announced the conversion of seven municipalities into full-fledged municipal corporations. This significant upgrade, announced during the state budget presentation on Friday, brings the total number of municipal corporations in Gujarat to 15.
Finance Minister Kanubhai Desai, presenting the budget for the fiscal year 2024-25, outlined the transformation of Navsari, Gandhidham, Morbi, Vapi, Anand, Mahesana, and Surendranagar-Wadhvan from municipalities to corporations. He expressed gratitude to the Chief Minister, who holds the urban development portfolio, for recognizing the potential of these cities.
"Nearly half the state's population currently resides in urban areas"
"The rate of urbanization in Gujarat is on the rise," stated Desai. "We estimate that nearly half the state's population currently resides in urban areas, and this figure is expected to reach 75% by 2047. Urban centers are not just places to live; they are crucial hubs for economic development. Our government is committed to planning cities that prioritize citizen well-being. To ensure improved town management, we propose converting these seven municipalities. This decision will accelerate their development and enhance the services and facilities available to their residents."
While acknowledging the positive impact on urban development, the Finance Minister did not disclose the expected tax revenue generation from the upgraded corporation areas. This omission raised questions among media personnel during the post-budget briefing.
Elevating municipalities to corporations signifies increased government focus and resource allocation. This can translate into improved infrastructure, better sanitation, enhanced healthcare facilities, and more efficient civic services. However, concerns regarding potential tax hikes and the ability of the newly formed corporations to manage effectively remain.
