← All questionsGS2 · 2023 · Polity ·States Reluctant to Empower Urban Local Bodies
QUESTION 3
GS2
10 marks

"The states in India seem reluctant to empower urban local bodies both functionally as well as financially." Comment.

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7 min
150 words
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What the examiner wants

Comment on why states hold back functional and financial powers from urban local bodies despite the 74th Amendment.

CommentGive your own view on the statement and back it with facts and examples.

Demand-wise check

  1. 1Functional: 18 subjects in the Twelfth Schedule only partly transferred; parastatals (development authorities, water boards) take over core functions≈35 words
  2. 2Financial: weak own revenue (property tax), delayed State Finance Commissions, dependence on grants≈35 words
  3. 3Political reasons and the way forward≈35 words

Open in about 20 words and close in about 20.

Answer plan

74th AmendmentFunctional gapsFinancial gapsReasonsReformsConclusion

Where marks usually go

  • Treating it as a rural panchayat answer
  • No data on municipal finance

Draw this

  • Bar chart: municipal revenue as % of GDP in India vs other countries

Value addition

  • DataIndia's municipal revenue is about 1% of GDP, far below countries like Brazil or South Africa.RBI Report on Municipal Finances, 2022
  • Report15th Finance Commission tied part of urban grants to property tax floor rates and audited accounts.Fifteenth Finance Commission

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