Cabinet approves CITIIS 2.0 from 2023 to 2027

The Union Cabinet, under the leadership of Prime Minister Shri Narendra Modi, has given its approval for the City Investments to Innovate, Integrate and Sustain 2.0 (CITIIS 2.0) program. This initiative, conceived by the Ministry of Housing and Urban Affairs (MoHUA) in collaboration with the French Development Agency (AFD), Kreditanstalt für Wiederaufbau (KfW), the European Union (EU), and the National Institute of Urban Affairs (NIUA), will span over four years from 2023 to 2027.

Supporting Circular Economy and Climate-Oriented Reforms

CITIIS 2.0 aims to provide assistance to selected projects that promote the circular economy and integrated waste management at the city level. Additionally, it will focus on implementing climate-oriented reform actions at the state level and strengthening institutions while disseminating knowledge at the national level.

Funding and Partnerships

The funding for CITIIS 2.0 includes a loan of Rs.1760 crore (EUR 200 million) from AFD and KfW (EUR 100 million each), along with a technical assistance grant of Rs.106 crore (EUR 12 million) from the EU.

Building upon CITIIS 1.0

CITIIS 2.0 seeks to leverage and expand upon the accomplishments and insights gained from CITIIS 1.0. The previous program, launched jointly in 2018 by MoHUA, AFD, EU, and NIUA, had a total budget of ₹933 crore (EUR 106 million). CITIIS 1.0 comprised three components that included city-level projects, capacity-building activities in the state of Odisha, and integrated urban management at the national level.

Components of CITIIS 2.0

Following the model of CITIIS 1.0, CITIIS 2.0 consists of three major components:

  1. Climate-Resilient City Projects:
    Competitively selected projects will receive financial and technical support to enhance climate resilience, adaptation, and mitigation in up to 18 smart cities. These projects will emphasize circular economy principles and integrated waste management.
  2. State-Level Support:
    All states and union territories (UTs) will be eligible for assistance based on their demands. Support will include establishing or strengthening state climate centers, creating climate data observatories at state and city levels, facilitating climate-data driven planning, developing climate action plans, and building the capacity of municipal officials. The National Institute of Urban Affairs (NIUA) will coordinate technical assistance and strategic support to state governments.
  3. Strengthening Climate Governance:
    CITIIS 2.0 will introduce interventions at the central, state, and city levels to enhance climate governance in urban India. These interventions will focus on institutional strengthening, knowledge dissemination, partnerships, capacity building, research and development, and scaling up efforts across all states and cities.

Complementing National Programs and Global Commitments

CITIIS 2.0 will complement the ongoing national programs of the Government of India, including the National Mission on Sustainable Habitat, AMRUT 2.0, Swachh Bharat Mission 2.0, and Smart Cities Mission. Furthermore, this program will contribute positively to India’s Intended Nationally Determined Contributions (INDCs) and its commitments under the Conference of the Parties (COP26).


In conclusion, the approval of the CITIIS 2.0 program by the Union Cabinet demonstrates the Indian government’s commitment to sustainable urban development. Through its comprehensive approach and strategic partnerships, the program aims to foster a circular economy, implement climate-oriented reforms, and strengthen institutions at the city, state, and national levels. With the funding and technical assistance provided, CITIIS 2.0 will contribute to India’s efforts in achieving its sustainable development goals and global commitments.

Cabinet approves CITIIS 2.0 – FAQs

Q1: What is the objective of CITIIS 2.0?

Ans: The goal of CITIIS 2.0 is to provide funding for carefully chosen initiatives that advance the concepts of the circular economy, integrated waste management in cities, climate-focused reforms in states, and institutional development and information sharing at the federal level.

Q2: Who are the partners involved in CITIIS 2.0?

Ans: The Ministry of Housing and Urban Affairs (MoHUA), the French Development Agency (AFD), the Kreditanstalt für Wiederaufbau (KfW), the European Union (EU), and the National Institute of Urban Affairs (NIUA) have joined forces to create CITIIS 2.0.

Q3: How does CITIIS 2.0 contribute to India’s national programs and global commitments?

Ans: Through ongoing national initiatives including the National Mission on Sustainable Habitat, AMRUT 2.0, Swachh Bharat Mission 2.0, and Smart Cities Mission, CITIIS 2.0 will complement the government of India’s climate activities. Additionally, it will favourably affect India’s Intended Nationally Determined Contributions (INDCs) and its COP26 commitments.


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    Priti Palit, an accomplished edtech writer, boasts a wealth of experience in preparing candidates for multiple government exams. With a passion for education and a keen eye for detail, she has contributed significantly to the field of online learning. Priti's expertise and dedication continue to empower aspiring individuals in their pursuit of success in government examinations.

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