It means that the statue fitted in with its dirty surroundings. It summed up the dirtiness of its surroundings. It represented everything dirty about the place in which it resided.
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Hasibul Alamundermining the impression of permanent declineRefuting the idea that the place was going downhill, economically.
Hasibul Alamthe tawdry statueThe excessively elaborate statue
Hasibul Alamseemed emblematic of its blighted surroundings.seemed to represent decayed neighborhood