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An economic analysis of urban infrastructure development project in the northern Indian city of Bharatpur

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  • Dipti Ranjan Mohapatra

Abstract

Rajasthan Urban Sector Development Program involved investment in water supply, sewerage, sanitation, and drainage, solid waste management (SWM), and etc. in major cities in the state of Rajasthan in India. This program was an initiative of the Government of Rajasthan and the Government of India carried out with a loan arrangement from Asian Development Bank. The phase II of the program was implemented in 15 cities of Rajasthan including Bharatpur with total investment of 1868.40 million Indian Rupees. The objective of this paper is to evaluate the economic viability of the infrastructure investments in Bharatpur in water supply, sewerage, sanitation, and drainage, SWM, and measure the impact on urban poor. Water supply, sewerage, sanitation, and drainage, and SWM subprojects are economically viable with internal rate of return (IRR) of 85.72%, 22.87%, and 39.34%, respectively. The sensitivity analysis shows above 12% IRR for all the above‐mentioned subprojects. The distribution of project benefits to the urban poor in Bharatpur is significant with poverty impact ratio of 9%.

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  • Dipti Ranjan Mohapatra, 2019. "An economic analysis of urban infrastructure development project in the northern Indian city of Bharatpur," Growth and Change, Wiley Blackwell, vol. 50(3), pages 1134-1163, September.
    • Handle: RePEc:bla:growch:v:50:y:2019:i:3:p:1134-1163
    DOI: 10.1111/grow.12299
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