The region’s urban population is projected to increase from 913 million in 2025 to 1.7 billion by mid-century. About 15 million young people enter regional labour markets annually, increasing pressure to create more productive and better-paying jobs.
World Bank Group Managing Director and Chief Knowledge Officer Paschal Donohoe said much of the infrastructure required by expanding cities had not yet been constructed. “This creates an important opportunity: decisions made now about where and how cities grow can help create jobs, raise productivity and attract private investment for decades to come,” Donohoe said.
The Sub-Saharan Africa’s Urban Awakening: Catalysing Economic Growth and Job Creation Report found that cities already provided stronger economic opportunities than rural areas.
After accounting for education differences, real household expenditure per adult was 8.3% higher in an average city than in rural areas. The advantage increased to 17.4% in the largest non-capital cities and 41.3% in capital cities.
However, the economic performance of African cities continued to lag behind similarly sized cities elsewhere.
About 71% of urban population growth expected by 2050 will occur beyond current city boundaries, requiring governments to plan transport networks, housing, basic services and land use before informal expansion becomes entrenched.
The Report recommended concentrating public infrastructure investment in accessible employment clusters that could attract businesses and private capital.
Governments should also prepare expanding city peripheries by protecting land for arterial roads, simplifying land subdivision and improving access to public transport and affordable housing.
Approaches to smaller towns should reflect economic potential rather than applying the same investment model everywhere. Towns near transport corridors, borders, ports, fertile farmland or mineral resources could become important centres for trade and employment.
World Bank Lead Urban Economist and Report Lead Author Mark Roberts said capable institutions were essential to managing the transformation.
“Stronger urban governance, more predictable financing and greater accountability are essential to turn rapid urbanisation into better infrastructure, more investment and ultimately more and better jobs,” Roberts said.
The Report called for stronger property-tax systems, transparent fiscal transfers and greater use of land-based financing to fund infrastructure and essential services.
–WorldBank/ChannelAfrica–
