Assessing co-benefits from metro rail in India: industrialisation and land value capture financing

Rapid population growth and the expansion of metropolitan regions are defining features of India’s economic growth story. The number of Indian cities with populations above one million increased from 23 in 1991 to 53 in 2011. The average population density has also snowballed to 464 persons/sq km in 2020, 13 times more than the US and three times as much as China. This urban growth has led to a rapid rise in transport activity, characterised by a 10-fold expansion in registered motorised vehicles since 1990, 80 percent of which are two-wheelers and passenger cars. The increased proliferation of motor vehicles, particularly private ones, has exacerbated the negative externalities of the transport sector—greater congestion in cities and a rise in greenhouse gas emissions and air pollution.