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Today 60 percent of Moroccans reside in urban areas, as opposed to 35 percent in 1970. By 2050, nearly three-quarters of the country's population will be living in cities. Along with the concentration of people, urbanization will lead to the increasing concentration of economic activities in cities, which today are estimated to account for about 75 percent of the country's GDP and 70 percent of investments at the national level. To accompany these transformations, the Moroccan government has adopted, in recent years, ambitious programs to improve living standards in urban and rural areas. Significant improvements in living standards have been achieved through national master plans. Cities are the engines of today's demographic and economic growth in Morocco, but they also face persistent challenges. Despite substantial public investments and strong potential for cities to absorb rural poverty, important pockets of urban poverty remain. Spatial disparities are a major cause for concern both for citizens as well as for national and local governments. In addition, Moroccan cities are not delivering on their full potential. Urbanization has not generated the same growth benefits in Morocco as it has in many other countries with similar contexts. These patterns suggest that Morocco needs specific policies to improve returns from its urbanization process. The main message of this note is that urbanization and spatial equity are not competing objectives when urbanization is supported and managed well. Well-managed urbanization allows for economies of scale in the provision of services and the development of more efficient labor. This note identifies priority actions to be taken at national, regional, and local levels to allow public authorities to act within a coherent framework and to help urban development to boost economic growth and promote shared prosperity for all.
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This paper uses a hedonic property price function to estimate the relationship between flood risk and rents in four Sub-Saharan Africa cities: Accra, Antananarivo, Dar es Salaam, and Addis Ababa. The analysis relies on household survey data collected after flood events in the cities. Flood risk is measured with self-reported data on past flood exposure and perception of future risk of flooding of households. The study finds that flood risk is associated with lower rents in Accra, Antananarivo, Dar es Salaam, and Addis Ababa, ranging from 14 to 56 percent lower. In contrast, risk is associated with higher rent in Dar es Salaam, which could be potentially attributed to a combination of lack of awareness of flood risk among renters, high transaction costs and omitted variable bias. For example, only 12 percent of households living in flood-prone areas were aware of the flood risk when they moved in. In Antananarivo, job density is associated with higher rents while in Accra and Addis Ababa, higher job density is associated with lower rents. Results are negative but not significant in Dar es Salaam. When interacting job density with flood risk for each city, the negative effect of job density on rents is higher (in absolute value) when flood risk is high in Accra and Addis Ababa, and the positive effect of job density on rents becomes negative when flood risk is high in Antananarivo. This relationship is not found in Dar es Salaam. The finding seems to suggest that access to jobs is an important factor driving people to settle in flood-prone areas.
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Over the past four decades and prior to the pandemic, the Dominican Republic (DR) experienced high economic growth rates, which were accompanied by an expansion of the middle class and a significant reduction of poverty rate. During the same period, the country became predominantly urban, and its territories evolved from rural and agricultural spaces to large metropolitan areas, consolidating tourism poles in coastal areas and suburban spaces where manufacturing emerged, fueled by the creation of Special Economic Zones (SEZ). In 2020, it is estimated that 82.5 percent of the Dominican Republic's population lives in urban areas; and by 2050 this number will go up to 92 percent.While the economic and territorial transformation of the country has generated opportunities for its population, it has also created a number of challenges which require to be tackled. Such as providing quality basic services, assuring safe and affordable housing solutions to the fast-growing population, assuring firms count with the right enabling environment in the places where they locate and, more recently, supporting the Coronavirus (COVID-19) recovery efforts to build a better future for the country. The government of the Dominican Republic has recognized the opportunities that come with better leveraging its territory and tackling current development challenges; and is pushing to advance an ambitious territorial development reform. This DR's Urbanization and territorial development review aims to inform and contribute to the Government's effort by (i) providing evidence of the main territorial challenges currently being faced by the country with a specific focus on urban areas and lagging regions; (ii) review the current (and proposed reforms to the) regulatory framework for territorial planning and local government finance; and (iii) inform policy decisions at the national, regional, and local levels for ways ahead to address the territories challenges and embrace its opportunities, and to implement the proposed reforms.
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This paper is part of a series of four Urban Policy Notes that identify emergent challenges to Bhutan's increasing urbanization and its ramifications for growth, livability, and sustainability in line with the directives of the Twelfth Five-Year Plan (FYP) for 2018-23 and the Vision 2020. The four notes are: (i) Regional Development, (ii) Municipal Governance and Finance, (iii) Affordable Housing, and (iv) Urban Resilience. These notes build on the long engagement between the Royal Government of Bhutan (RGoB) and the World Bank on urban issues as well as the operations under the Bhutan Urban Development Project First (1999-2006) and Second (2010-19). This note specifically draws from the ongoing support to build a safe, sustainable, and climate-resilient Bhutan through the Hydromet Services and Disaster Resilience Regional Project, preparation of Bhutan's Strategic Program for Climate Resilience Project, Improving Seismic Resilience Project, and related technical assistance. It is intended to support the RGoB on key and emerging topics relevant in the context of increasing urbanization and vulnerability to weather, water, and climate hazards, and to guide the Bank's future analytical and investment support on urban- and resilience-related challenges.
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Cities dramatically vary in their sectoral composition across the world, possibly lending credence to the theory that some cities are production cities with high employment shares of urban tradables while others are consumption cities with high employment shares of urban non-tradables. A model of structural change highlights three paths leading to the rise of consumption cities: resource rents from exporting fuels and mining products, agricultural exports, and premature deindustrialization. These findings appear to be corroborated using both country- and city-level data. Compared to cities in industrialized countries, cities of similar sizes in resource-rich and deindustrializing countries have lower shares of employment in manufacturing, tradable services, and the formal sector, and higher shares of employment in non-tradables and the informal sector. Results on the construction of "vanitous" tall buildings provide additional evidence on the relationship between resource exports and consumption cities. Finally, the evidence suggests that having mostly consumption cities might have economic implications for a country.
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This paper analyzes the factors that affect countries' graduation from International Development Association (IDA) assistance and develops a statistical model of graduation. IDA provides concessional financing (credits, grants, and guarantees) to the world's poorest countries to help reduce poverty and improve living standards. IDA's eligibility criteria include (a) absence of International Bank for Reconstruction and Development (IBRD) creditworthiness and (b) gross national income (GNI) per capita below the IDA operational cutoff. Following several 'reverse graduations' during the 1990s, the set of factors affecting graduation decisions broadened to include an assessment of the country's macroeconomic prospects, risk of debt distress, vulnerability to shocks, institutional constraints, and levels of poverty and social indicators. Through a pooled logit estimation using panel data covering IDA-eligible countries for 1987-2016, the authors determine the factors that influenced IDA graduation decision making for FY1989-FY2018. They find that throughout the sample the probability of being a graduate is positively and statistically significantly associated with income per capita, creditworthiness, and country size. They account for the shift of policy after 1998. Using an interaction dummy variable to capture the pre-FY1999 period, they find that life expectancy, reduced poverty, urbanization, and institutional development have been positive and significant predictors of graduation status in the later period.
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Provides new insights on urbanisation by applying for the first time two new definitions of human settlements to the entire globe: the Degree of Urbanisation and the Functional Urban Area. Based on the definitions, the report presents new evidence of recent and future urbanisation trends and sheds light on the evolution of metropolitan areas around the globe. It examines whether and why quality of life differs between cities and other types of settlements. It analyses the relationship between economic development and the metropolitan system in countries around the world. Finally, it presents new evidence on the changing shape of cities and its impact on sustainability. The report demonstrates how globally consistent definitions of cities and metropolitan areas can contribute to more effective policy design.
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Despite impressive economic growth and increasing prosperity, cities in Mexico do not seem to have fully captured the benefits of urban agglomeration, in part because of rapid and uncoordinated urban growth. Recent expansion of many Mexican cities has been distant, disconnected, and dispersed, driven mainly by large single-use housing developments on the outskirts of cities. The lack of a coordinated approach to urban development has hindered the ability of cities in Mexico to boost economic growth and foster inclusive development. It also has created a fissure between new housing developments and urban services, infrastructure, and access to employment. Mexico Urbanization Review: Managing Spatial Growth for Productive and Livable Cities in Mexico provides an analytical basis to understand how well-managed urban growth can help Mexican cities to capture the positive gains associated with urbanization. To this end, the authors analyze the development patterns of the 100 largest Mexican cities using a set of spatial indexes. They then examine how the recent urban growth has affected the economic performance and livability of Mexican cities and offer recommendations for adjusting urban policy frameworks and instruments in ways that support sustainable spatial development and make cities more productive and inclusive.
Urbanization --- Mexico.
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