Spend on urban development to be Rs 75,000 cr in 5 yrs: Narendra Modi

GANDHINAGAR: Gujarat government would be spending Rs 75,000 crore on urban development over five years (2012-17), Chief Minister Narendra Modi said today.

"Gujarat is fast pacing towards urbanisation with over 42 per cent of the population residing in urban areas," Modi said at a workshop on Urban Development here.

"As per the census of 2011, Gujarat's total population was around 6 crore. If we consider those living around the urban areas, then by rough estimate it seems that nearly 50 per cent of the population will change the face of urbanisation in days ahead," he said.

"Majority of people see rapid urbanisation as a huge challenge and try to invent ways to skip issues related to it, but Gujarat has taken a different view....The state's view is that urbanisation is not a problem, instead it should be considered as an opportunity and planning should be done in a way to encash it," Modi said.

State's budgetary provision for urban development in last 13 years has shot up to Rs 5,600 crore in 2013 from Rs 127 crore in 2000, he said.

"Over the next five years span -- 2012-17 -- we plan an expenditure of Rs 75,000 crore on urban development."

While investments in the real estate was falling elsewhere, Gujarat was the only state where it was increasing, Modi claimed.

The Chief Minister handed over cheques totalling around Rs 2,500 crore to the heads of Nagarpalika and Mahanagarpalikas at the workshop. There are over 125 Nagarpalika's in the state and eight Mahanagarpalikas.