STATE OF THE WORLD'S CITIES 2012/2013 Prosperity

Chapter 2.2
Urban Infrastructure:
Bedrock of Prosperity
Infrastructure is crucial for the development, functionality
and prosperity of urban areas. It provides the foundation
on which any city will thrive. Adequate infrastructure –
improved water and sanitation, reliable and sufficient
power supply, efficient transport networks and modern
information and communication technologies (ICTs) –
FACT
The cities that
have managed
to attract investment and
enhance competitiveness
in a highly globalized
economy are those that
have vastly improved the
range and quality of their
infrastructure. Conversely,
poor infrastructure is
a major impediment to
development, poverty
reduction and improved
standards of living.
POLICy
Cities that
fail to provide
adequate infrastructure are
less likely to be prosperous
and sustainable in terms
of balancing economic and
social development, and
environmental protection. 1
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contributes to the sustainability and economic growth
of urban areas, promotes the competitiveness of local
businesses, improves labour productivity, enhances the
investment climate in the city and contributes to its
attractiveness. Physical infrastructure like roads, power
and communication facilities, improves urban connectivity,
which is essential to induce growth and reduce poverty.
There is a positive link between the provision of
infrastructure and the level of urbanization. More
urbanized countries tend to provide more infrastructures
(Figure 2.2.1).
Mexico: aerial view of Guadalajara.
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