This paper, through critical literature review, has investigated the application of smart transportation system in handling traffic congestion with the aim of enhancing traffic flow in overcrowded cities. It has been discovered that the movement of people to urban areas in search of infrastructures and livelihood has drastically increased the population of people in such areas. This has resulted in traffic congestion, and created mobility challenges as people move from one place to another to carry out their daily activities. Many people have tried a number of traffic congestion avoidance techniques in order to meet-up with their daily appointments, one of which is moving at odd hours such as very early in the morning or late at night. This is far from being a reliable solution to the problem of traffic congestion. This research therefore, proposes an IT-based solution for traffic congestion through the concept of smart transportation systems also known as Intelligent Transport System (ITS). Its usage has given rise to the proliferation of smart systems in different urban sectors and it is projected to cover more areas of human endeavour because of its ability to proffer solutions through its adoption.