Hyderabad will soon be home to the National Institute of Urban Management which is to be developed as a world-class institute jointly by the state government and Centre.

The NIUM would come up on a 20-acre site at Khanamet village in Ranga Reddy district on the outskirts of Hyderabad.

"NIUM will be a premier institute for training urban managers in tune with the growing challenges of urbanization," state minister for municipal administration and urban development Aanam Ramanarayana Reddy told PTI.

While the Centre would contribute Rs 50 crore, the state government would spend Rs 15 crore for building the NIUM and setting up the training facilities in the first year. "The World Bank will contribute another Rs 20 crore for the project," the Minister added.

The state cabinet, which met here today under the chairmanship of chief minister K Rosaiah, approved a proposal to allocate 20 acres of Hyderabad Metropolitan Development Authority land at Khanamet free-of-cost for the NIUM.

World-class infrastructure for training urban managers, hostels, modern computer labs, library and other infrastructure would be developed on the campus.

Currently, the National Institute of Urban Affairs is being run as an autonomous institution in New Delhi with the support of the Union Ministry of Urban Development. It is a premier institute for urban policy research, training and information dissemination in urban development and management.

"NIUM is the first national-level institute being set up by government to train urban managers from across the country," Ramanarayana Reddy said.

The state government will communicate the land allocation particulars to the Union Ministry of Urban Development after which the latter will start building the facility.