A decision to this effect was taken at a high-level meeting of the New Delhi Municipal Council (NDMC) presided by Chief Minister Arvind Kejriwal. A notification will be issued soon to complete the process of renaming the road.
It is the second road to be renamed in the national capital after NDA government came to power at the Centre. The Aurangzeb Road was renamed after former president APJ Abdul Kalam last year.
The Race Course Road was named after the Delhi race Course, part of the Delhi Race Club, which was established in 1940.
The rechristening of the road in Lutyen's Delhi came days after BJP MP Meenakshi Lekhi wrote to the NDMC, suggesting that the name of the road on which the PM's official residence is located should be changed to Ekatma Marg to "match the Indian culture".
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However, her proposal was rejected in today's meeting. Kejriwal proposed to rename the street after Guru Gobind Singh, the 10th Sikh Guru but the idea also did not find favour.
AAP MLA Surinder Singh, also member of the Council, opposed Lekhi's proposal to rename the road as Ekatma Marg.
NDMC chairperson Naresh Kumar said it was a unanimous decision to change the name of the road as Lok Kalyan Marg.
"It was observed by the Council that the name of the road as Race Course Road on which the official residence of Prime Minister of India is situated does not match with the Indian ethos and value system. Hence, it was decided to rename it as Lok Kalyan Marg so to take the philosophy of public welfare in the mind," said Kumar.
Last year, the Aurangzeb Road, which is also not far from the Race Course road, was renamed after former president APJ Abdul Kalam. A number of historians had criticised the decision.
AAP MLA Jarnail Singh had earlier today met Kejriwal at his residence along with a delegation of Sikhs suggesting that he recommends renaming of the road after Guru Gobind Singh.