The New Delhi Municipal Council (NDMC) area is among the country’s top three as per a credit rating exercise undertaken by the Union Urban Development Ministry.
Along with Navi Mumbai and Pune, the NDMC area leads 94 cities in the country with a credit rating of AA+.
The credit ratings are necessary for issuing municipal bonds for mobilisation of resources.
Smart City Mission
Urban Development Minister M.Venkaiah Naidu reviewed the progress of credit rating of smart cities and AMRUT cities on Saturday, with 94 of the 500 cities included in the Smart City Mission and Atal Mission for Rejuvenation and Urban Transformation AMRUT) obtaining the ratings.
A total of 55 of these cities have got ‘Investment Grade’ ratings, a Ministry spokesperson said.
Mr. Naidu noted that 59% of cities assessed getting investment grade rating were better than what was thought of about the financial situation of urban local bodies in the country.
The 94 cities that have so far been assigned credit ratings are spread across 14 States.
The Ministry of Urban Development is promoting credit rating of cities as one of the five transformational reforms under which about 500 cities and towns that account for about 65% of the total urban population were to be given credit ratings during this year.
Credit ratings are assigned based on assets and liabilities of urban local bodies, revenue streams, resources available for capital investments, double entry accounting practice and other governance practices, said the spokesperson.
