Rapid urbanisation in its trail brings a host of problems such as housing for living, provision of water supply, health services and other social amenities. These amenities require huge funds. Most municipal administrations are not strong anough to carry out these functions. The problem of financing the Local Government has been heightened by the increase in prices, heavy cost of meeting the expenditure on establishment and on development activities. Added to this the inefficiency in financial management has increased the magnitude of the problem. It is imperative that a well regulated financial system should be devised to properly harness the source of revenue, regulate proper assessment and collection of such revenue, exercise adequate financial control, both internal and external, in regulating the expenditure by suitable budgeting metho H, and control and enforce a system of regular and effective audit and ensure pountability of those local bodies. Doctor Gokulanand Dash deserves praise discussing in a most competent manner the problems which urban local governments in India encounter. This he has done by taking up a case study of urban* local bodies in Orissa. The findings of his research hold valid not only for India but also for the Third World countries generally. Doctor Dash comes to the conclusion that the real problem of the urban local bodies is not poor finances but weak financial administration.
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