The recent directive from US President Donald Trump, imposing a fee of $100,000 on H-1B visa applicants, has significant repercussions for the global talent ecosystem. This policy not only hampers the movement of skilled individuals but also risks triggering a brain drain from American laboratories and startup environments. By raising operational costs for companies and limiting access to specialized expertise, innovation in the US could slow considerably at a critical time.
As the Global South is poised to drive two-thirds of worldwide economic growth in the upcoming decades, the United States may inadvertently be relinquishing its edge in technology and entrepreneurial leadership to emerging economies. For India, this transition presents a unique opportunity. With increasing barriers abroad, skilled professionals—including senior clinicians, technical experts, and entrepreneurs—might consider returning to or investing in India.
However, for India to capitalize on this prospect and sustain a competitive advantage, it must create cities that offer a desirable quality of life. Such urban centers should emphasize excellent healthcare, clean air and water, reliable public transit, affordable housing, advanced research institutions, and stable regulatory environments. Achieving this will attract the next generation of innovation hubs, start-ups, and centers of medical excellence.
Currently, only 15 Indian cities contribute to 30 percent of the nation’s GDP, and their capacity to accelerate growth by even 1.5 percent will be pivotal for India’s aim of becoming a $30 trillion economy by 2047. Yet these cities face challenges such as severe air pollution, water shortages, urban floods, unmanaged waste, and governance issues that impede their progress toward being world-class urban ecosystems.
Given that 42 out of the 50 most polluted cities globally are in India, reducing vehicular emissions is critical. Rapid electrification of public transportation and rigorous enforcement of construction dust control measures are among the urgent actions needed. Additionally, leveraging initiatives like the proposed Rs 1 lakh crore Urban Challenge Fund—which ranks cities on performance and allocates funds accordingly—can incentivize progress.
The scarcity of scientific solid waste processing is striking, as only about 25% of the daily 1,50,000 tonnes of generated waste is managed properly. State-level investments in waste collection infrastructure and skilled personnel, coupled with policies enforcing accountability and community-level waste segregation, are essential steps forward.
Water scarcity threatens around 30 Indian cities, demanding large-scale implementation of water collection, treatment, and reuse systems. Reducing loss from inefficient piping systems, which currently redirect 40-50% of water before it reaches users, is also vital. Adopting a pragmatic water pricing model based on consumption—with subsidies for those in need and incentives against overuse—is necessary to ensure long-term sustainability.
India must move past restrictive urban planning policies aimed at limiting Floor Space Index (FSI) that encourage urban sprawl and longer commutes. Instead, adopting a model that supports planned, dense vertical development—as seen successfully in cities like Singapore—can combine high livability with urban biodiversity. Addressing a growing shortfall in affordable housing, projected to triple to 31 million units by 2030, requires proactive policies that offer incentives to developers for social housing or transit investments in exchange for allowable building expansions.
To combat city congestion that costs residents up to two hours daily, significant investments in public transit are critical, along with complementary last-mile electrified solutions. Prioritizing Transit Oriented Development (TOD), which clusters development around rapid transit, can reduce car dependency, promote compact growth, and enhance economic efficiencies.
A shortage of urban planners—less than one per city according to Niti Aayog—undermines coordinated growth. Strengthening city governance, building a professional cadre of urban managers, and granting greater autonomy in administration and finance are imperative. Additionally, improving revenue through digital land registries and higher property tax compliance, and exploring land value capture financing mechanisms, will provide essential municipal resources.
Cities like Indore demonstrate what is possible: they excel in resource management through door-to-door waste segregation and converting organic waste into bio-CNG. Indore is also India’s first ‘water-plus’ city, having plugged sewage leaks with GIS technology and rigorously implemented rainwater harvesting and wastewater reuse, providing a replicable model for water resilience.
Urbanization stands as a defining factor of India’s future prosperity. Already, India has the second-largest urban population system worldwide, larger than the combined populations of the US, UK, Germany, and Japan. Over the last decade, India’s urban population expanded by 91 million people (a 32% increase). By 2030, approximately 350 million more people will migrate to cities, with urban growth accounting for 73% of the country’s total population increase by 2036.
Successful urbanization has historically lifted millions out of poverty globally. India cannot afford to remain a ‘reluctant urbanizer.’ People leave India not just for better paychecks but for improved life quality. As America closes its doors, India must open new pathways by building world-class cities that provide compelling reasons for its best talent to stay and thrive.
