A Glance at the Role of the Agencies for Urban Development in Financing the Municipalities

The agencies for urban development are the institutions which pave the way for an appropriate interaction with the citizens and for the development of local economy, hence completing the economic role of the municipalities. Global statistics and indexes show an increase in the number of such institutions in the metropolises across the world. What encourages the management section of the metropolises for establishing and exploiting the agencies for urban development is their high efficiency and productivity, their relative independency of municipalities, and their taking roles in attracting capital, increasing the citizens’ cooperation, and bringing about positive effects on the improvement of the financial condition of the municipalities. This article investigates into the important role the agencies for urban development play in the dynamicity of urban economics and in the aid they offer to finance municipalities. Further, the relationship between the agencies and the funds for local development is investigated. Since the number of countries which make use of the funds for local development to improve the condition of local economy and urban financing is annually increasing across the globe, this article, in addition to giving a prospect to the decision-makers and urban managers, helps clarify the role such institutions play in the improvement of the financial condition of the cities and the municipalities.