The Yogi government has approved a major urban development plan to build new cities in Agra, Bareilly and Prayagraj. Chief Minister Yogi Adityanath’s cabinet cleared the proposal under the “Mukhyamantri Shahri Vistaarikaran/New City Promotion Scheme.”
The move aims to provide modern housing and better civic facilities to the state’s growing urban population. The government also wants to ensure the planned expansion of cities and reduce pressure on existing urban areas.
Focus on Planned Urban Growth
Rapid urbanisation has increased the demand for housing, roads, public services and other infrastructure. To address these challenges, the state government launched the new city promotion scheme.
Under the plan, authorities will develop new townships with modern infrastructure and better urban planning. The government expects these projects to support future population growth and improve the quality of life for residents.
Government to Provide Seed Capital
The scheme offers significant financial support for land acquisition. The state government will provide 50% of the total land acquisition cost as seed capital to development authorities.
Authorities can use this financial assistance for up to 20 years. This support will help them begin large-scale development projects without facing major funding challenges.
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₹3,500 Crore Budget Allocation
For the financial year 2026-27, the UP government has allocated ₹3,500 crore for the scheme.
From this budget, the government has approved seed capital worth ₹355.06 crore for the proposed new cities in Agra, Bareilly and Prayagraj. It has also sanctioned and released the first instalment of ₹225 crore to start development work.
Better Living and Less Urban Pressure
The government believes the new cities will help reduce population pressure on major urban centres. Residents will get access to cleaner, better-planned and modern living spaces.
Officials expect the projects to create stronger infrastructure networks and support UP’s long-term urban development goals.
