India, Jan. 31 -- Targeted congestion pricing in dense business districts, combined with demand-based parking management, can reduce traffic congestion, the Economic Survey 2025-26 has said, calling for policy intervention to manage rising congestion in large cities. Citing global examples such as Singapore and London, the survey noted that a dynamic, electronic, congestion-pricing system that automatically charges vehicles when they pass under a toll gantry during the peak period has helped cut traffic volumes, improve travel speeds and lower emissions.

These recommendations come into focus even as Bengaluru once again ranks as the world's second most congested city, trailing only Mexico City, with commuters losing an average of 168 hou...