Which one is better in terms of MBA - IBS, Bangalore or Urban Management and Goverance, XIMB ?

Urban Management and Governance XUMG will be better. You may feel this is a course meant for the future, but the future is here, by all means. Metro cities of our country like Delhi and Mumbai are crumbling under the pressure of their weight. Expertise in this field will provide your CV an edge over most run-of-the-mill MBA degrees. It is a sunrise sector, but the demand for talent in this sector is skyrocketing. 

The first batch of XUMG UM&G graduated in 2018. The average CTC for the branch was INR 6-7 LPA. Students of UM&G do summer internships in companies like Ernst &Young, CRISIL, GIZ, Spectrum Technologies, etc. After completing this course you can expect to get recruited by consulting firms, Urban Development Authorities, NGOs, various Govt. departments, UN Organizations, Infrastructure Development companies, and International Development agencies. 

Having an advanced degree in a niche field like this will put you ahead of the exact same MBA resumes, that companies receive these days.