Updated April 2022

The Economic Power of Africa's Cities

Key messagesCountry DataPolicy actionsCity ClustersExpert voicesSurveyReport
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Millions of people with better jobs and improved access to services

Over 5 000 new cities have emerged in Africa since 1990, empowering millions of people across all socio-economic groups.

Cities increase GDP

  • Approximately 30% of Africa's per capita gross domestic product (GDP) growth in the last 20 years has been due to urbanisation.

  • Cities generate agglomeration economies that increase the productivity of urban firms and workers.

Cities drive development

  • Wages, share of skilled jobs and hours worked are higher in cities than in rural areas.

  • Urban dwellers spend more time in school than their rural counterparts.

  • Urban dwellers and businesses benefit from more and better access to services and infrastructure.

Cities benefit rural areas

  • Rural areas that are close to cities perform better than more remote areas.

  • The development of small and mid-sized cities can benefit surrounding rural areas by bringing infrastructure and services such as markets, modern business services and educational facilities closer.

Country and cross-country data insights

Explore data from more than 4 million individuals and firms across 2 600 cities and 32 African countries and see how urbanisation and city size drive economic performance in Africa.

What can governments do to leverage the power of cities?

Anchor cities in planning

  • Co-ordinate national and local development policies

  • Leverage cities as development drivers

  • Invest in services and infrastructure that connect cities and increase productivity

Empower local governments

  • Make them key actors in shaping economic development

  • Allow them to define and implement investment decisions

  • Build the capacity and skills of local administrations

Boost local investment capacity

  • Implement predictable and stable intergovernmental transfers

  • Increase local source revenues through taxes, tariffs, and fees

  • Facilitate access to debt financing

Clusters of cities provide new opportunities

  • Many of Africa’s successful cities are part of larger emerging clusters of cities.

  • Africa’s six major urban clusters are home to 55% of urban residents.

  • Half of Africa’s city clusters are located inland.

  • Five out of six clusters cross national borders, providing new pathways for economic development and continental integration.

  • Investments in connectivity in city clusters are needed to leverage the economic benefits of proximity.

Read more

Africapolis - Visualise urbanisation in Africa

Africapolis is the only comprehensive and standardised geospatial database on cities and urbanisation dynamics in Africa.

It allows users to explore, visualise and map 7 700 agglomerations in 54 countries to enable comparative and long-term analyses of urban dynamics.

Explore Africapolis

What do the experts say?

Effective urban planning and functional local governments are vital to support and develop cities’ economies.

Improving existing decentralisation programmes, enhancing urban infrastructure investment and providing reliable data are all actions that can ensure that the specific needs of urban areas are addressed.

In this series of interviews, policy makers and experts share their perspectives on urbanisation today and what it will take to make Africa’s cities more inclusive, liveable and sustainable.

Future of Africa’s cities: What the experts say...

This video captures the key messages from individual interviews.

Rapid increase in urban population, but not enough jobs in the formal sectors...

Edlam Yemeru | Chief, Urbanization and Development Section, United Nations Economic Commission for Africa (UNECA)

It is key that governments develop sound national urban policies...

Daniel K. B. Inkoom | Professor of Planning, Kwame Nkrumah University of Science and Technology, Kumasi

This is a new model of urban development; it requires all stakeholders...

Jean-Pierre Elong Mbassi | Secretary General, United Cities and Local Governments Africa

National decentralisation frameworks have to be ratified...

Edgar Pieterse | Director, African Centre for Cities, University of Cape Town

Africa will be the continent with the largest urban population...

Stefan Atchia | Manager, Urban Development Division, African Development Bank Group

How is life in West Africa’s cities?

Africa’s cities are youthful. More than 66% of urban dwellers are below the age of 30. We surveyed more than 4 000 young people across 17 countries and 27 cities in West Africa to find out what they like and dislike about their cities and hear from them on how these urban spaces could develop.

See what West African youth feel about the cities they live in ...

 

Discover the results

Latest Report and key resources

iLibrary doi: 10.1787/3834ed5b-en

AFRICA'S URBANISATION DYNAMICS 2022

The Economic Power of Africa’s Cities

Africa's Urbanisation Dynamics 2022 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 across 2 300 cities in 34 countries, it presents compelling evidence that urbanisation in Africa contributes to better economic outcomes and higher standards of living.

Read the reportWatch the webinar
> Statistical annex
> Africapolis database
> Urbanisation Dynamics 2020
> Urbanisation Dynamics in West Africa 1950–2010
Photo credits: Shutterstock. Slider: Kehinde Temitope Odutayo, Daniel M Ernst, Ovinuchi Ejiohuo, Atfie SahidMY; Policy actions: (L-R) Anton Ivanov, Jono Erasmus, Nataly Reinch
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