How Smart are Cities without Adequate Finances? (eBook)

This book compares urban finances in cities located in two different South Asian countries and assesses their fiscal health. It uses simulation to estimate the required augmentation in financial resources by the urban local bodies (ULBs) to reach a level of city development that is significantly better compared to existing levels. The book provides a systematic analysis of the fiscal health of two city corporations in Bangladesh, viz. Dhaka North City Corporation (DNCC) and Dhaka South City Corporation (DSCC); and one city corporation in the Indian state of West Bengal viz. Kolkata Municipal Corporation (KMC). The choice of city corporations was based on the shared history and the similarity of heritage, culture, topography and socio-economic conditions. Both DNCC and DSCC as well as the KMC have a high population density, which puts immense pressure on the service delivery provided by these corporations of basic services such as water supply, sanitation facilities, street lighting, drainage and sewerage and waste disposal. This is compounded by poor fiscal health of the ULBs. 

Using primary data collected through surveys and personal interviews and information obtained from official documents, the book estimates fiscal gaps of the ULBs and undertakes simple simulations to estimate potential revenue enhancements and expenditure requirements to deliver services at the internationally acceptable standards. It highlights under-exploited sources of revenue which can be better realized and also identifies untapped revenue sources that can be easily introduced, in order to significantly enhance city revenues. The book is an excellent resource not only for researchers studying this topic, but also for policy makers and urban planners, particularly those from developing countries having to deal with burgeoning cities with high migrant population density.

Simanti Bandyopadhyay is a Professor of Economics in School of Management and Entrepreneurship, Shiv Nadar University, Delhi-NCR, India. Her professional experience consists of research, consultancy and teaching for more than two decades. She works on applied development economics, mainly related to public finance and public policy. She has done her Ph.D. in Economics on a UGC fellowship from the Centre for Economic Studies and Planning, Jawaharlal Nehru University, New Delhi, and has been an International Centre for Tax and Development Post-doctoral Fellow at the Andrew Young School of Policy Studies, USA, and Institute of Development Studies, UK. She has visited various universities and research institutions of repute in India and abroad for assignments on research, teaching and research guidance and has also been a recipient of Mac Arthur Foundation Award. A regular contributor of research articles and an external reviewer to a number of international journals on public policy, economics and operations research, she has led important projects on various issues on development and has worked closely with organizations like World Bank, ADB, UNDP, IFMR, ICRIER, Planning Commission and different Ministries and government bodies. She has also been the chief researcher for the background study of the Fourth State Finance Commission of the state of Tamil Nadu in India.

 

Firdousi Naher, Professor, Department of Economics, University of Dhaka, holds a BA from the University of Delhi and a PhD from Jawaharlal Nehru University, New Delhi. With an experience of two decades, she has taught a range of economics courses and is a frequent guest speaker in universities in Bangladesh and abroad. She has been a post-doctoral fellow at the International Food Policy Research Institute. She has collaborated actively with researchers from national and international organisations including, BRAC, DFID, GIZ, ILO, IRRI, UNDP, UNICEF, WFP and the World Bank. A keen contributor towards inclusive policy making, Firdousi works closely with relevant ministries and departments, notably in evaluating different poverty alleviation programs of the government of Bangladesh. A prolific author of publications in different print media, Firdousi frequently serves as an external reviewer for international journals on development economics. Her research interests include poverty, social protection, agriculture, food and nutrition security, food safety, informal sector, education and public expenditure. 

 

Aishna Sharma is an Assistant Professor of Economics in School of Management and Entrepreneurship, Shiv Nadar University, Delhi-NCR, India. She completed her Ph.D. from Jawaharlal Nehru University, India. Her areas of interest include Public Finance, School Education, Higher Education and Public Private Partnerships. She has worked on various projects with British Council of India, state governments of India and the erstwhile Planning Commission of India. She started her career in National Institute of Public Finance and Policy. She later worked with Institute of Applied Manpower Research (now, National Institute of Labour Economics Research and Development) where she co-authored the India Human Development Report, 2011. She has presented her work in international and national conferences/seminars and has published extensively in different reputed outlets on varied issues.

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This book compares urban finances in cities located in two different South Asian countries and assesses their fiscal health. It uses simulation to estimate the required augmentation in financial resources by the urban local bodies (ULBs) to reach a level of city development that is significantly better compared to existing levels. The book provides a systematic analysis of the fiscal health of two city corporations in Bangladesh, viz. Dhaka North City Corporation (DNCC) and Dhaka South City Corporation (DSCC); and one city corporation in the Indian state of West Bengal viz. Kolkata Municipal Corporation (KMC). The choice of city corporations was based on the shared history and the similarity of heritage, culture, topography and socio-economic conditions. Both DNCC and DSCC as well as the KMC have a high population density, which puts immense pressure on the service delivery provided by these corporations of basic services such as water supply, sanitation facilities, street lighting, drainage and sewerage and waste disposal. This is compounded by poor fiscal health of the ULBs.  Using primary data collected through surveys and personal interviews and information obtained from official documents, the book estimates fiscal gaps of the ULBs and undertakes simple simulations to estimate potential revenue enhancements and expenditure requirements to deliver services at the internationally acceptable standards. It highlights under-exploited sources of revenue which can be better realized and also identifies untapped revenue sources that can be easily introduced, in order to significantly enhance city revenues. The book is an excellent resource not only for researchers studying this topic, but also for policy makers and urban planners, particularly those from developing countries having to deal with burgeoning cities with high migrant population density.