Union Minister of State for Personnel, Public Grievances, Pensions Dr. Jitendra Singh on Tuesday called for professionalising municipal governance through research, capacity building and robust financial reforms, asserting that technology, evidence-based decision-making and sound financial management will shape the next generation of Urban Local Bodies (ULBs).
The Minister was addressing the signing of a Memorandum of Understanding (MoU) between the Centre for Urban Studies (CUS) at the Indian Institute of Public Administration (IIPA) and the Institute of Chartered Accountants of India (ICAI). The partnership aims to strengthen municipal accounting systems and improve financial management practices through research, training and institutional capacity building.
Describing municipal accounting as the foundation of transparent, technology-driven and citizen-centric urban governance, Singh said strong institutions supported by research and professional expertise are essential for creating efficient Urban Local Bodies capable of meeting the needs of a rapidly urbanising country.
The collaboration seeks to combine IIPA’s expertise in governance, public administration and research with ICAI’s professional capabilities in accounting, auditing and public financial management to support institutional reforms across municipalities.
Calling the agreement a significant milestone, Singh said both organisations have evolved into nationally respected institutions over the years. He noted that while IIPA has expanded beyond training civil servants to serve elected representatives, judicial officers, defence personnel and other stakeholders, ICAI has emerged as one of the world’s largest professional accounting bodies. Bringing together the strengths of both institutions, he said, would create a strong platform for improving governance at the municipal level.
The Minister said governance is increasingly driven by technology, reliable data and professional systems, making reforms in municipal accounting more important than ever. He expressed confidence that the collaboration would continue to evolve beyond the scope of the MoU by identifying new opportunities to improve urban governance through research, innovation and institutional learning.
He also highlighted the nationwide presence of IIPA and ICAI, saying their extensive networks would help extend the benefits of the partnership to municipalities across the country through sustained capacity-building initiatives.
The MoU establishes a comprehensive framework for collaboration in research, knowledge development, training, advisory services and technical support aimed at strengthening municipal accounting systems and financial management practices. Under the agreement, the two institutions will jointly undertake policy research, surveys, documentation and development of knowledge products, while organising training programmes, workshops, seminars, conferences and webinars for municipal officials. They will also develop learning resources and facilitate the exchange of professional expertise and best practices to improve financial accountability and governance in Urban Local Bodies. The agreement will remain in force for an initial period of three years.
The collaboration builds on the National Conference on the 16th Finance Commission and Local Public Finance, jointly organised by IIPA and ICAI earlier this year. The conference brought together representatives from institutions including the Comptroller and Auditor General of India, the Reserve Bank of India, NITI Aayog, the Ministry of Housing and Urban Affairs, the Ministry of Panchayati Raj, the National Institute of Urban Affairs, the National Institute of Public Finance and Policy, as well as municipal bodies, to deliberate on reforms in local public finance. The discussions underscored the need for stronger municipal accounting systems and laid the foundation for the present partnership.
Established in 1966, the Centre for Urban Studies at IIPA has been engaged in research, policy analysis and capacity building in urban governance. It currently operates across six States and three Union Territories with support from the Ministry of Housing and Urban Affairs. The Centre has also initiated discussions with the Government of Haryana to support accounting reforms across all 87 Urban Local Bodies in the state, with the initiative expected to serve as a model for similar reforms elsewhere in the country.
During the programme, representatives of both institutions emphasised that sustainable improvements in urban governance require continuous investment in professional capacity, technical expertise and institutional learning. They said the partnership would facilitate joint research, development of practical toolkits and training modules, technical advisory support and structured knowledge exchange, while promoting a Training of Trainers approach to create a multiplier effect across states. They also expressed confidence that the collaboration would complement the ongoing revision of the National Municipal Accounting Manual by integrating field experience with modern accounting standards and technology-enabled financial systems.
Singh expressed confidence that the partnership would mark a new chapter in institutional collaboration for municipal governance and public financial management. He said the initiative reflects the government’s commitment to strengthening governance through knowledge, innovation and professional excellence while equipping Urban Local Bodies with modern financial systems, enhanced institutional capacity and globally comparable accounting practices that ultimately improve public service delivery and citizens’ quality of life.
