FM Sitharaman Doubles Down on Urban Reforms, Announces Rs 1 Lakh Crore Fund

Finance minister Nirmala Sitharaman has announced the setting up of a Rs 1 lakh crore Urban Challenge Fund to double down on urban sector infrastructure in the union budget 2025-26 on February 1. The fund aims to transform cities into growth hubs, support creative redevelopment, and enhance water and sanitation infrastructure. 

The Urban Challenge Fund will fund up to 25% of the cost of the bankable projects, with a condition that 50% of the finance will be via bonds, bank loans or public-private partnerships (PPP). 

Additionally, Sitharaman announced social welfare schemes to support the online workforce of gig workers. The scheme will focus on providing ID cards to gig workers and extending healthcare benefits, apart from other things.The scheme will provide relief to the increasing number of gig workers and their concerns particularly with social welfare. The report, titled India’s Booming Gig and Platform Economy, has estimated the number of gig workers to increase to 23.5 million by 2030. 

The scheme will provide relief to the increasing number of gig workers and their concerns particularly with social welfare. The report, titled India’s Booming Gig and Platform Economy, has estimated the number of gig workers to increase to 23.5 million by 2030.

The government has also proposed registration of online platform workers on the e-Shram portal & healthcare under PM Jan Arogya Yojana.