Fiscal Health of Selected Indian Cities
This paper provides an overview of the fiscal problems faced by five urban agglomerations in India, namely, Delhi, Hyderabad, Kolkata, Chennai, and Pune. It analyzes the fiscal health of the five urban agglomerations, quantifies their revenue capac...
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2012
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Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090310132455 http://hdl.handle.net/10986/4059 |
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okr-10986-40592021-04-23T14:02:15Z Fiscal Health of Selected Indian Cities Bandyopadhyay, Simanti Rao, M. Govinda ACCOUNTABILITY ACCOUNTING ACCOUNTING SYSTEMS BORROWING CAPITAL EXPENDITURES CAPITAL MARKET CITY SIZE DEVELOPING COUNTRIES DEVELOPMENT FINANCE ECONOMIC ANALYSIS ELECTRICITY EQUALIZATION EXPENDITURE EXPENDITURE RESPONSIBILITIES EXPENDITURES FINANCES FINANCIAL INSTITUTIONS FISCAL CAPACITIES FISCAL CAPACITY FISCAL DECENTRALIZATION FISCAL GAPS FISCAL MANAGEMENT FISCAL POLICY FISCAL PROBLEMS FISCAL RESPONSIBILITY GOVERNANCE ISSUES GOVERNMENT REVENUE HOUSING INCOME INFRASTRUCTURE DEVELOPMENT INSTITUTIONAL ARRANGEMENTS INSTRUMENT INTERGOVERNMENTAL TRANSFER INTERGOVERNMENTAL TRANSFERS INTERNATIONAL BANK INVESTMENT REQUIREMENT INVESTMENT REQUIREMENTS LAWS LEGISLATION LEVY LICENSES LOCAL GOVERNMENT LOCAL GOVERNMENT REVENUE LOCAL GOVERNMENTS LOCAL LEVEL LOCAL TAXES MATURITY MUNICIPAL MUNICIPAL CORPORATIONS MUNICIPAL FINANCE MUNICIPAL GOVERNMENT MUNICIPAL GOVERNMENTS MUNICIPAL SERVICES MUNICIPALITIES MUNICIPALITY OCTROI PENSIONS POVERTY REDUCTION PROPERTY TAX COLLECTION PROPERTY TAXES PUBLIC PUBLIC FINANCE PUBLIC SERVICE PUBLIC SERVICE DELIVERY PUBLIC SERVICE PROVISION PUBLIC SERVICES PUBLIC TRANSPORTATION PUBLIC WORKS PUBLIC WORKS DEPARTMENT RATE OF MIGRATION RENT CONTROL RESERVE RESERVE BANK RESERVE BANK OF INDIA REVENUE EXPENDITURES REVENUE SOURCES ROADS SETTLEMENTS SOLID WASTE MANAGEMENT STAMP DUTY STATE GOVERNMENT STATE GOVERNMENTS STREET LIGHTING STRUCTURAL REFORMS SUBNATIONAL GOVERNMENTS TAX TAX COLLECTIONS TAX POLICY TAX RATE TAX RATES TAX REGIMES TAX REVENUE TAX REVENUES TAX SHARING TAX SYSTEM TRANSACTION TRANSACTION COST TRANSPARENCY UNFUNDED MANDATES URBAN AREAS URBAN ECONOMICS URBAN INFRASTRUCTURE URBAN SERVICES URBAN SEWERAGE URBAN TRANSPORTATION URBANIZATION USER CHARGES VALUATION WATER SUPPLY This paper provides an overview of the fiscal problems faced by five urban agglomerations in India, namely, Delhi, Hyderabad, Kolkata, Chennai, and Pune. It analyzes the fiscal health of the five urban agglomerations, quantifies their revenue capacities and expenditure needs, and draws policy recommendations on the means to reduce the gaps between revenue raising capacities and expenditure needs. The main findings suggest that, except for five small urban local bodies in Hyderabad, the others are not in a position to cover their expenditure needs by their present revenue collections. All the urban agglomerations have unutilized potential for revenue generation; however, with the exception of Hyderabad, they would fail to cover their expenditure needs even if they realized their revenue potential. Except in Chennai, larger corporations are more constrained than smaller urban local bodies. The paper recommends better utilization of "own revenue" through improved administration of property taxes, implementation of other taxes, and collection of user charges. It recommends that state governments should explore the option of allowing local bodies to piggyback a small proportion on their value-added tax collections. Another way to reduce the fiscal gap would be to earmark a portion of the sales proceeds from land and housing by state governments sold through their development agencies for improvements in urban infrastructure. The paper also recommends that the State Finance Commissions should develop appropriate norms for estimating expenditure needs, based on which transfers from the state to local governments can be decided. 2012-03-19T19:09:14Z 2012-03-19T19:09:14Z 2009-01-03 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090310132455 http://hdl.handle.net/10986/4059 English Policy Research working paper ; no. WPS 4863 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper South Asia South Asia South Asia Asia India |
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Digital Repository |
institution_category |
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institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English |
topic |
ACCOUNTABILITY ACCOUNTING ACCOUNTING SYSTEMS BORROWING CAPITAL EXPENDITURES CAPITAL MARKET CITY SIZE DEVELOPING COUNTRIES DEVELOPMENT FINANCE ECONOMIC ANALYSIS ELECTRICITY EQUALIZATION EXPENDITURE EXPENDITURE RESPONSIBILITIES EXPENDITURES FINANCES FINANCIAL INSTITUTIONS FISCAL CAPACITIES FISCAL CAPACITY FISCAL DECENTRALIZATION FISCAL GAPS FISCAL MANAGEMENT FISCAL POLICY FISCAL PROBLEMS FISCAL RESPONSIBILITY GOVERNANCE ISSUES GOVERNMENT REVENUE HOUSING INCOME INFRASTRUCTURE DEVELOPMENT INSTITUTIONAL ARRANGEMENTS INSTRUMENT INTERGOVERNMENTAL TRANSFER INTERGOVERNMENTAL TRANSFERS INTERNATIONAL BANK INVESTMENT REQUIREMENT INVESTMENT REQUIREMENTS LAWS LEGISLATION LEVY LICENSES LOCAL GOVERNMENT LOCAL GOVERNMENT REVENUE LOCAL GOVERNMENTS LOCAL LEVEL LOCAL TAXES MATURITY MUNICIPAL MUNICIPAL CORPORATIONS MUNICIPAL FINANCE MUNICIPAL GOVERNMENT MUNICIPAL GOVERNMENTS MUNICIPAL SERVICES MUNICIPALITIES MUNICIPALITY OCTROI PENSIONS POVERTY REDUCTION PROPERTY TAX COLLECTION PROPERTY TAXES PUBLIC PUBLIC FINANCE PUBLIC SERVICE PUBLIC SERVICE DELIVERY PUBLIC SERVICE PROVISION PUBLIC SERVICES PUBLIC TRANSPORTATION PUBLIC WORKS PUBLIC WORKS DEPARTMENT RATE OF MIGRATION RENT CONTROL RESERVE RESERVE BANK RESERVE BANK OF INDIA REVENUE EXPENDITURES REVENUE SOURCES ROADS SETTLEMENTS SOLID WASTE MANAGEMENT STAMP DUTY STATE GOVERNMENT STATE GOVERNMENTS STREET LIGHTING STRUCTURAL REFORMS SUBNATIONAL GOVERNMENTS TAX TAX COLLECTIONS TAX POLICY TAX RATE TAX RATES TAX REGIMES TAX REVENUE TAX REVENUES TAX SHARING TAX SYSTEM TRANSACTION TRANSACTION COST TRANSPARENCY UNFUNDED MANDATES URBAN AREAS URBAN ECONOMICS URBAN INFRASTRUCTURE URBAN SERVICES URBAN SEWERAGE URBAN TRANSPORTATION URBANIZATION USER CHARGES VALUATION WATER SUPPLY |
spellingShingle |
ACCOUNTABILITY ACCOUNTING ACCOUNTING SYSTEMS BORROWING CAPITAL EXPENDITURES CAPITAL MARKET CITY SIZE DEVELOPING COUNTRIES DEVELOPMENT FINANCE ECONOMIC ANALYSIS ELECTRICITY EQUALIZATION EXPENDITURE EXPENDITURE RESPONSIBILITIES EXPENDITURES FINANCES FINANCIAL INSTITUTIONS FISCAL CAPACITIES FISCAL CAPACITY FISCAL DECENTRALIZATION FISCAL GAPS FISCAL MANAGEMENT FISCAL POLICY FISCAL PROBLEMS FISCAL RESPONSIBILITY GOVERNANCE ISSUES GOVERNMENT REVENUE HOUSING INCOME INFRASTRUCTURE DEVELOPMENT INSTITUTIONAL ARRANGEMENTS INSTRUMENT INTERGOVERNMENTAL TRANSFER INTERGOVERNMENTAL TRANSFERS INTERNATIONAL BANK INVESTMENT REQUIREMENT INVESTMENT REQUIREMENTS LAWS LEGISLATION LEVY LICENSES LOCAL GOVERNMENT LOCAL GOVERNMENT REVENUE LOCAL GOVERNMENTS LOCAL LEVEL LOCAL TAXES MATURITY MUNICIPAL MUNICIPAL CORPORATIONS MUNICIPAL FINANCE MUNICIPAL GOVERNMENT MUNICIPAL GOVERNMENTS MUNICIPAL SERVICES MUNICIPALITIES MUNICIPALITY OCTROI PENSIONS POVERTY REDUCTION PROPERTY TAX COLLECTION PROPERTY TAXES PUBLIC PUBLIC FINANCE PUBLIC SERVICE PUBLIC SERVICE DELIVERY PUBLIC SERVICE PROVISION PUBLIC SERVICES PUBLIC TRANSPORTATION PUBLIC WORKS PUBLIC WORKS DEPARTMENT RATE OF MIGRATION RENT CONTROL RESERVE RESERVE BANK RESERVE BANK OF INDIA REVENUE EXPENDITURES REVENUE SOURCES ROADS SETTLEMENTS SOLID WASTE MANAGEMENT STAMP DUTY STATE GOVERNMENT STATE GOVERNMENTS STREET LIGHTING STRUCTURAL REFORMS SUBNATIONAL GOVERNMENTS TAX TAX COLLECTIONS TAX POLICY TAX RATE TAX RATES TAX REGIMES TAX REVENUE TAX REVENUES TAX SHARING TAX SYSTEM TRANSACTION TRANSACTION COST TRANSPARENCY UNFUNDED MANDATES URBAN AREAS URBAN ECONOMICS URBAN INFRASTRUCTURE URBAN SERVICES URBAN SEWERAGE URBAN TRANSPORTATION URBANIZATION USER CHARGES VALUATION WATER SUPPLY Bandyopadhyay, Simanti Rao, M. Govinda Fiscal Health of Selected Indian Cities |
geographic_facet |
South Asia South Asia South Asia Asia India |
relation |
Policy Research working paper ; no. WPS 4863 |
description |
This paper provides an overview of the
fiscal problems faced by five urban agglomerations in India,
namely, Delhi, Hyderabad, Kolkata, Chennai, and Pune. It
analyzes the fiscal health of the five urban agglomerations,
quantifies their revenue capacities and expenditure needs,
and draws policy recommendations on the means to reduce the
gaps between revenue raising capacities and expenditure
needs. The main findings suggest that, except for five small
urban local bodies in Hyderabad, the others are not in a
position to cover their expenditure needs by their present
revenue collections. All the urban agglomerations have
unutilized potential for revenue generation; however, with
the exception of Hyderabad, they would fail to cover their
expenditure needs even if they realized their revenue
potential. Except in Chennai, larger corporations are more
constrained than smaller urban local bodies. The paper
recommends better utilization of "own revenue"
through improved administration of property taxes,
implementation of other taxes, and collection of user
charges. It recommends that state governments should explore
the option of allowing local bodies to piggyback a small
proportion on their value-added tax collections. Another way
to reduce the fiscal gap would be to earmark a portion of
the sales proceeds from land and housing by state
governments sold through their development agencies for
improvements in urban infrastructure. The paper also
recommends that the State Finance Commissions should develop
appropriate norms for estimating expenditure needs, based on
which transfers from the state to local governments can be decided. |
format |
Publications & Research :: Policy Research Working Paper |
author |
Bandyopadhyay, Simanti Rao, M. Govinda |
author_facet |
Bandyopadhyay, Simanti Rao, M. Govinda |
author_sort |
Bandyopadhyay, Simanti |
title |
Fiscal Health of Selected Indian Cities |
title_short |
Fiscal Health of Selected Indian Cities |
title_full |
Fiscal Health of Selected Indian Cities |
title_fullStr |
Fiscal Health of Selected Indian Cities |
title_full_unstemmed |
Fiscal Health of Selected Indian Cities |
title_sort |
fiscal health of selected indian cities |
publishDate |
2012 |
url |
http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090310132455 http://hdl.handle.net/10986/4059 |
_version_ |
1764389730176204800 |