Africa’s Urbanisation Dynamics 2022
The Economic Power of Africa’s Cities
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This report provides a new perspective on Africa’s urban economies that is unique in its breadth and level of detail. Based on data from more than 4 million individuals and firms in 2 600 cities across 34 countries, it presents compelling evidence that urbanisation contributes to better economic outcomes and higher living standards. It shows that across most socio-economic dimensions, cities significantly outperform the countries in which they are located. In Africa, urbanisation accounts for approximately 30% of the growth in per capita gross domestic product (GDP) over the past 20 years. Importantly, the gains from urbanisation on economic performance and quality of life extend beyond city boundaries, also benefiting rural areas. The report also shows that transnational clusters of cities are emerging along coasts as well as inland, offering new opportunities for economic development. Based on these findings, the report sets forth policy priorities at national and local levels that are essential to realise the potential of urbanisation. Among these, it argues that the role of cities should be fully anchored in national development planning. Moreover, local governments need greater fiscal and administrative capacity to become key actors in economic development.
Also available in: French
The role of local governments in economic development policy
This chapter discusses the role of local economic development policies inAfrica. It highlights the need to develop policies targeted to the local contextand explains why local governments should play a greater part in supporting economic development. The chapter emphasises the increasingly important role of metropolitan governance in Africa and discusses strategic planning as an instrument for developing coherent policy packages. While it is impossible to develop one‑size‑fits‑all solutions for local economic development policies, the chapter presents five principles around which targeted local economic development policies can be built.
Also available in: French
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