Jaipur, October 2026 . The World Bank has prepared a proposal for the Sustainable Urban Transformation in Rajasthan Accelerated (SUTRA) project. The initiative aims to expand amenities in Rajasthan's major cities, develop infrastructure, boost tourism, and strengthen the financial and administrative capacities of municipal bodies. The total estimated cost of this proposed project is 387.5 million US dollars, which amounts to more than ₹3,500 crore.
According to the latest document released by the World Bank, a total of 32 urban local bodies will be included in the project. This includes four major urban clusters—Jaipur, Jodhpur, Kota, and Bharatpur—along with 28 associated satellite towns. The estimated population in these areas for the year 2026 is over 7.8 million (78 lakh). The project will focus on making urban development more organized and providing better infrastructure facilities to citizens.
Boosting Tourism, Heritage Conservation, and Urban Transport
Under the project, works related to the conservation and revival of historical and cultural heritage, improvement of urban transport and connectivity, solid waste management, and the development of civic amenities will be carried out across the four urban clusters. These efforts aim to make the cities more convenient and livable, improve mobility, and enhance tourism potential. Given Rajasthan's historic heritage and tourist destinations, the development of heritage zones has been given a significant place in the project. Measures will also be taken to tackle challenges like water scarcity during rising summer temperatures and waterlogging during the rainy season in these cities.
Emphasis on Increasing Municipal Income and Improving Financial Management
According to the World Bank document, the project will implement measures to improve revenue administration and debt management for municipal bodies. Additionally, emphasis will be placed on strengthening the borrowing capacity of urban local bodies and developing mechanisms to mobilize private and commercial capital for urban infrastructure.
The Rajasthan Urban Infrastructure Development Project (RUIDP) will serve as the implementation agency for this project. The World Bank is expected to review the technical design of the project by December 10, with Board approval anticipated by July 2, 2027. The project proposes a $270 million loan from the World Bank's International Bank for Reconstruction and Development (IBRD), along with $115.7 million in counter-funding from the state government.