Odisha Govt Unveils Ambitious ‘New City Development’ Scheme to Drive Urban Growth

Bhubaneswar: In a significant step towards transforming the state’s urban landscape, Chief Minister Mohan Charan Majhi introduced the ‘New City Development’ scheme during his budget presentation for the fiscal year 2025-26. With an allocation of Rs 200 crore, the initiative aims to pave the way for Bhubaneswar’s growth as a vibrant metropolitan hub.

While Odisha’s urbanization remains relatively low compared to other regions, cities are recognized as crucial engines of economic growth. The state government’s long-term vision includes the establishment of a metropolitan development region spanning approximately 7,000 square kilometers, covering Bhubaneswar, Khurda, Jatni, Cuttack, Paradip, and Puri. This comprehensive regional development plan aligns with the state’s strategy to enhance urban growth and establish these areas as key socio-economic hubs.

The ‘New City Development’ scheme specifically targets the development of 322 hectares of land initially, with plans to scale up to 3,600 hectares. The focus will be on fostering industries such as the service sector, Information Technology (IT), and Research and Development (R&D), which are expected to drive employment opportunities and attract investments. Chief Minister Majhi emphasized that this transformation will be vital for Bhubaneswar’s evolution into a modern economic powerhouse.

Further complementing the city’s growth, Majhi outlined an ambitious road decongestion plan to alleviate traffic challenges. The plan includes the construction of an elevated corridor from Jaydev Vihar Square to Nandankanan, three new flyovers at Kalpana Square, Sishu Bhawan Square, and Odisha State Museum, and an underpass at AG Square. The state has allocated Rs 13,000 crore for these key infrastructure projects, with the aim to improve mobility and traffic management in the city.

In addition, the government is set to build a 64-km inner ring road, connecting Tamando to Paikarapur and Dhauli to Tamando, with six lanes to accommodate increasing traffic demands. This Rs 7,000 crore initiative will play a pivotal role in enhancing connectivity and supporting the growing needs of Bhubaneswar’s expanding population.

Looking further ahead, the state is exploring the construction of a 148-km outer ring road, designed to include two service lanes, with an estimated cost of Rs 6,152 crore. This ambitious project is intended to prepare the city for future expansion, ensuring that Bhubaneswar remains a well-connected urban center.

Alongside these initiatives, the government’s vision includes the Samruddha Sahara scheme, with an allocation of Rs 408 crore, aimed at revitalizing Odisha’s urban spaces and enhancing the quality of life for residents. This scheme will transform Odisha’s cities into vibrant socio-economic hubs, driven by innovation, sustainability, and inclusivity, ensuring a bright future for the state’s urban centers.