BackSouth Asian countries can make better use of Urbanisation: World Bank
The report says South Asia's urban population grew by 130 million people between 2001 and 2011
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New Delhi: Rising urban population has put pressure on land, housing, environment, infrastructure and basic services, and the inability to cope with it has led to “messy and hidden" urbanisation in India and other South Asian countries, a World Bank report said.
“Although there has been progress, India and other South Asian countries can make better utilization of opportunities that urbanisation provides," said the report titled Leveraging Urbanisation in South Asia—Managing spatial transformation for prosperity and livability.
Urbanisation, if managed well, can lead to sustainable growth by increasing productivity and allowing innovation and new ideas to emerge, according to World Bank managing director and chief operating officer Sri Mulyani Indrawati who released the report.
South Asia’s urban population grew by 130 million people between 2001 and 2011 and it is forecast to rise by almost 250 million in the next 15 years, the report said.
Indrawati, who is on a three-day visit to India, said, “The good news is that the conversation on urbanisation has changed. There is recognition and a willingness to discuss (urbanisation). The report identifies three deficiencies - empowerment, resources and accountability. If addressed, it will improve fiscal return."
According to the report, census 2011 data reflects the messy urbanisation, with 65.5 million Indians living in urban slums and 13.7% of the urban population below the national poverty line. Urbanisation has been relatively slow in India, with the share of population living in urban settlements growing at a rate of just over 1.15% a year from 2001-11.
Hidden urbanisation is seen through the large share of the country’s population that live in areas that possess urban characteristics but do not satisfy the criteria to officially be urban.
Indrawati said it is encouraging to see states in India looking into factors where they are lacking and offered the World Bank’s support to government initiatives.
Complementing the central government’s Smart Cities Mission and the Atal Mission for Rejuvenation and Urban Transformation (AMRUT), Onno Ruhl, World Bank country director for India said, “The challenge will be to make this transition inclusive, providing opportunities and jobs to youth, especially women and supported by efficient service infrastructure."
Peter D. Ellis, author of the report said, “Smart Cities Mission and AMRUT are two complimentary programmes. While AMRUT caters to the basic service needs, smart city initiatives are covered in the other mission."
India added seven multi-city agglomerations during 1999-2010, taking the total to 30, but its cities have not been able to take full advantage of these agglomerations, the report said.
“The largest metropolitan centres—Mumbai, Delhi, Bangalore, Kolkata, Chennai, Hyderabad, and Ahmedabad—saw a 16% loss in manufacturing jobs between 1998 and 2005 within 10 kilometres of their city centres. On the other hand, job growth in their immediate peripheries increased by almost 12%," said the report.
The report suggested that inter-governmental relations should be improved. “Practical ways must be identified to increase the resources available to local governments to allow them to perform their mandated functions and mechanisms must be strengthened to hold local governments accountable for their actions."
The central government has approved a ₹ 1 trillion plan to create 100 smart cities and rejuvenation of 500 cities through AMRUT.
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