Either by inducing immigration or by causing the densely-populated centres of his own kingdom to send forth the surplus population, the king may construct settlements either on new sites or on old ruins. In the centre of every eight hundred settlements, in the centre of every four hundred settlements, in the centre of every ten settlements, and in the extremities of the kingdom, fortresses of respective sizes will be constructed.
Brāhmaṇas shall be granted lands for yielding produce and exempted from taxes; government agents shall be endowed with lands but not the right to sell or mortgage them; lands prepared for cultivation shall be granted to tax-payers only with no strings attached. Unprepared land will not be expropriated from those who are preparing them from cultivation, but may be confiscated from those not preparing them from cultivation.
[The king] shall facilitate mining and manufactories, exploit timber and elephant forests, offer facilities for cattle-breeding and commerce, construct roads and canals for traffic, and set up market cities. He may construct reservoirs himself, or facilitate private builders with roads, sites, timber and other necessary infrastructure; likewise for the construction of religious sites and of groves.
—Kautilya, in the Arthaśāstra, 2.1:1-21