Ministry of Housing and Urban Affairs Releases “Municipal Performance Index (MPI)”

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The Ministry of Housing and Urban Affairs releases the rankings of the Municipal Performance Index(MPI) 2020.

About Municipal Performance Index(MPI), 2020:

  • It is a framework to assess and analyze the performance of Indian Municipalities. Performance is evaluated based on their defined set of functions.
  • It provides citizens with a better understanding of their local government administration.
  • The MPI has been undertaken for the first time in the country.

Note: Both Ease of Living Index and Municipal Performance Index(MPI) released together. Both indexes provide a holistic view of the performance of cities across India.

Parameters: The index ranks municipalities based on five parameters which are:

  1. Services: It includes an assessment of all functions that citizens experience on a daily basis.
  2. Finance: It measures municipalities based on how they manage public funds and how their agency is accessing financial resources.
  3. Planning: It examines the level of preparation, implementation, and enforcement of urban planning.
  4. Technology: It measures the digital coverage of municipality services and the extent to which it empowers its citizens to access such services.
  5. Governance: It deals with aspects of municipal bodies and their governance mechanism.


  • The index examined the sectoral performance of 111 municipalities (with Delhi being assessed separately for NDMC and the three Municipal Corporations).
  • Classification: It has classified municipalities based on their population:
    • Million+ (municipalities having over a million population) and
    • Less than Million Population.

Key Findings:

  • Million+ category: Indore has emerged as the highest-ranked municipality followed by Surat and Bhopal.
  • Less than Million category: New Delhi Municipal Council has emerged as the leader followed by Tirupati and Gandhinagar.

Significance of the index:

  • MPI provides a detailed understanding of municipalities’ functionalities and the extent of their development and capabilities.
  • It also seeks to raise awareness among citizens and key stakeholders regarding their local government bodies and build greater transparency and accountability.

Source: Business Standard


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