Effective urban governance is pivotal for the transformation of cities, with municipalities serving as key drivers in creating the infrastructure and systems necessary for a “Smart City.” Recognizing this, the Ministry of Housing and Urban Affairs has introduced the inaugural Municipal Performance Index 2019. This comprehensive initiative aims to evaluate and analyze the performance of municipalities across India’s 100 Smart Cities and cities with a population exceeding one million, based on their mandated functions.
Analyzing key performance indicators is crucial to identifying the areas where a city is underperforming and requires improvement. Strengthening these indicators is essential for enhancing the quality of life for citizens, boosting the city’s attractiveness, and fostering increased investment over time. This analysis is based on the Municipal Performance Index report released by MoHUA, which includes 100 indicators across 20 sectors grouped into five verticals.
For Coimbatore, however, a focused analysis has been conducted. The Finance sector has been examined in detail, while the Governance sector has been reviewed through 10 specific indicators. Additionally, within the Services vertical, the performance of the Education sector has been assessed.
Finance
The finance Vertical is analysed based on 4 sectors i.e
i) Revenue management
ii) Expenditure management
iii) Fiscal responsibility and
iv) Fiscal decentralization
Overall Rating of Finance Vertical
The performance index for the Finance vertical stands at 0.75, with Fiscal Decentralization achieving a strong score. However, other sectors within this vertical, such as Revenue Management, Expenditure Management, and Fiscal Responsibility, have only managed to score approximately two-thirds of the total marks.
Governance
The governance vertical measures the efficiency and effectiveness of Municipal governance with a set of indicators. According to the MPI-2019 document by MoHUA, the Governance vertical is divided into four sectors:
i) Transparency
ii) Human Resource
iii) Participation
iv) Effectiveness
Of these, the Human Resource and Participation sectors have been analyzed in detail using data provided by CCMC for the Urban Outcomes Framework (UOF).
Education
The Education sector, categorized under the Services vertical, has been analyzed in detail due to the availability of relevant budget data from the corporation’s financial records. The analysis reveals the following insights:
The Municipal Performance Index 2023 provides valuable insights into Coimbatore’s governance and services. While the Finance vertical excels in fiscal decentralization, improvements are needed in revenue and expenditure management. Governance shows progress in Human Resource and Participation sectors, while the Education sector’s budget surplus highlights opportunities to address teacher vacancies and improve student-teacher ratios. These findings can guide efforts to enhance municipal performance, liveability, and investment appeal.