Cities play a vital role in generating economic growth and prosperity. The sustainable development of cities largely depends upon their physical, social and institutional infrastructure. In this context, the importance of transport infrastructure is paramount. To facilitate this, what is required is a sound urban transport policy. Urban population in India has increased significantly from 62 million in 1951 to 217 million in 1991 and is estimated to be around 540 million by the year 2021. In terms of percentage of total population, the urban population has gone up from 17% in 1951 to 26% in 1991 and is expected to increase up to around 37% by the year 2021. Consequently, the number and size of cities have also increased considerably. Although circumstances differ considerably across cities in India, certain basic trends which determine transport demand (such as substantial increase in urban population, household incomes, and industrial and commercial activities) are the same. These changes have placed heavy demands on urban transport systems, demand that many Indian cities have been unable to meet. The paper attempts to highlight the need for a cogent urban transport policy without which there will be ad hoc interventions. Such interventions, apart from not adding up to a comprehensive approach, will result in greater confusion. Furthermore, it emphasizes that if there is no worthwhile public transport, it will still need to be reinvented to promote a better quality of life. The need of the hour is formulation of an urban transport strategy that is both pragmatic and holistic in its approach.