In conformity with its objective offunctioning as a local Government, Kathmandu MetropolitanCity (KMC) sought the assistance of the World Bank for thepreparation of a City Development Strategy (CDS). Thevarious sectoral as well as integrated strategies presentedin this document seem to be an overwhelming demand on KMCwith its limited manpower and money. A CDS is essential ifKMC is to focus its development potential. The optimism liesin political leadership, enabling environment and necessarysupport that will be rendered to KMC from civil society. Thevision for Kathmandu stresses the need to develop the valleyas administrative, cultural and tourism center. The strategyto move towards that vision through improvement in theoverall situation of the KMC, however, is likely to be along drawn struggle, yet achievable. The urban planningstudy strongly recommends that Kathmandu should be accordedspecial status as a capital city and large polluting andmanufacturing industries should be discouraged immediatelyand if possible, re-location plans be drawn for existingindustries in the near future. Alternatively, service andlight industries should be promoted to replace the economicopportunities. Urban areas in KMC are not designated by afunctional and occupational structure or contiguity criteriafor managing housing and squatter settlements. Housingproblems are a serious challenge in a situation where ahistorically planned city is fast transforming itself into atrade-cum-service center. On the other hand, it isencouraging to note that despite the absence of cityspecific policies and programs for housing, slums andsquatters, the communities are highly organized and aregradually improving their conditions at their own costs,which show their potential for mobilization in participatoryhome improvement programs.
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