Which bike should I buy for city and highway, my budget is INR 1.5 lakhs?

Actually, there are too many options! You have the Pulsar Bajaj Pulsar series motorcycles - AS, RS and NS series. And there is the TVS Apache RTR 180. We also have the Yamaha R15 and the aging Honda CBR 150. If you're interested in cruisers - You can also choose from the RE motorcycles. However,  I think you should stretch your budget a little and go for the KTM DUKE 200. Its reliable, fast, and returns a good mileage (given its specs).And don't forget to test drive before you finalize.