Scope and Trend of Urbanization in Madhesh Er. Kishore K. Jha Consulting Engineer/Planner Paper to be presented in a conference on Role of NGOs/INGOs in Developing Madhesh Kathmandu, Nepal. Organized by: Non-Resident Madheshis Association November 14 & 15, 2011 1 THE PRELUDE Historical Past of Madhesh - Gifting of territory by British - Colonization, Marginalization, Discrimination,….of Madheshis - Movements: muliparty democracy 2046, madheshi uprising 2063 Concurrent State of Affairs The Way Forward Paradigm Shift in Approach to - Constitution Making Process..Federal Development Structure..Autonomy 1. Analyzing Scope and Trend of - Obama vs. Dr. Ram B Yadav Urbanization - Composition of Present Cabinet . 2. Prioritizing Urban Investment What is in the offering for common Areas – promoting economic Madheshi?? growth for both urban and rural areas. - Low agricultural productivity, increased migration from 3. Adopting Inclusive Regional hills/mountain Development Strategy Role of NGOs/INGOs/Development Partners & Actors/ Intellingentia /CivilSociety /Investors&Entreprenuers…..Political Leadership 2 3 4 Remittances in Nepal– NLSS III 2011 5 Consumption Pattern, Nepal– NLSS III 2011 6 Nepal: HH & Per Capita Income – NLSS III 2011 7 Employment Pattern – NLSS III 2011 8 Demographic Structure – NLSS III 2011 9 Access to Facilities – NLSS III 2011 10 Urbanization??? – Urbanization, is defined as the percentage of total population living in settlements designated as urban areas. Urbanization vs. Economic Growth (positively associated with real per capita income. (the World Bank) Spatial transformations accelerate growth –reallocation of labor and capital from traditional (rural) sectors to modern (urban) sectors. Agglomeration and Clustering households and firms benefit from scale economies, mobility, and specialization. Increased urbanization economic growth job creation poverty reduction Increased urbanization . 11 Urbanization - The Asian Experiences • • • • • Urban Population in Asia is growing faster than ever before – 1.1 billion more Asian (half of total) will be living in urban area by 2030 than 2005 – 44 million people every year. Rapid urbanization has been the key drivers of Asia’s dynamic growth, and of the poverty reduction. East Asia’s urban population produces 92% of its wealth, South Asia’s urbanites produce 75% of wealth. But one third of Asia’s absolute poor (less than $1 a day) live in urban areas- population of slum dwellers will grow by average 110 million people. Asian Cities are earth’s worst polluters. Aligning transport and urban land use planning is the most important action for sustainable and liveable Asian cities. ffer 12 Urbanization vs Sectors of Economy • • • • Urbanization Pattern is contingent on economic sector – services cluster more in larger cities and manufacturing into smaller cities or newer towns. Nearly 6 percent of the urban population lives in the largest cities in India, which is double in comparison to China. China has many smaller cities than India, as it has a bigger manufacturing sector compared to India. India which is among the most densely populated countries in the world, is also among the least urbanized. Despite rapid economic growth, the urbanization rate remains low at less than 30 percent( 29% of its population, and the CIA Fact Book estimates it growing at 2.4% ), compared to 40 percent in China. ffer 13 Urban Growth Patterns in Nepal Parameters Number of Urban Areas (Nepal) Number of Urban Areas (Tarai) Urban Population - Nepal ('000) Urban Population - Nepal (%) Urban Growth Rate (% per annum) National Population Growth Rate 1. Hierrarchial Level of Municipalities 1961 16 11 336 3.6 4.4 1.65 1971 16 11 462 4 3.23 2.07 1981 23 14 957 6.4 7.55 2.66 1991 33 21 1696 9.2 5.89 2.1 2001 58 29 3228 14.2 6.65 2.25 2011 58 29 4500 17.1 3.38 1.4 1. Metropolis, popln. > 300,000, annual revenue NRs. > 400m : Kathmandu, 2. Sub Metropolis, popln. > 100,000, annual revenue NRs. 100m: Biratnagar, Birgunj, Lalitpur & Pokhara. 3. Municipalities -Tarai, popln. > 20,000, annual revenue NRs. 5m. 4. Municipalities -Hills/Mountain, popln. > 10,000, annual revenue NRs o.5m: total 29 (27 + 2) nos. 2. The National Urban Policy (2007) sets threshold population of 5,000 for any settlement to be termed as ‘town’. Accordingly, small town could be defined as: § Population 5,000 to 40,000 (Hills and Terai), § Road Access – located on a road linked to the strategic road network , Basic Infrastructure – at least one lower secondary school and a health post, in addition to grid electricity, basic telecom, banking etc. However, 145 “large” rural settlements with more than 10,000 population each in 1991 have been considered as most likely future municipalities, and included as urban area. 3. Based on above, that is by adding the projected population of 145 emerging towns, the total urban population is estimated 27% as of 2011. 14 Regional Distribution of Urban Areas (Municipalities) in Nepal 15 Urbanization in Nepal • Nepal remains one of the least urbanized countries in the world and also in South Asia. Absence of strong correlation between urbanization and economic growth – high dependency on traditional agriculture as a source of livelihood. • Existing urban areas were neither well developed nor well connected in terms of their geographical distribution – towns created for exploitation rather than facilitating growth of its rural hinterland. • The concept of "urbanization" is misunderstood, and misinterpreted - misguided assumptions about the continuation of rural economic predominance - potential of urbanization as a necessary contemporary force in national socio-economic development has been ignored or dismissed. by national planners -has completely ignored the spatial reality of rural-urban interdependence • National Planning Authority should gain political support to formulate a national urbanization policy for an immediate and measurable development impact. 16 Transportation and Economic Linkages - External 17 Transportation and Economic Linkages - Internal 18 Potentials and Challenges of Urbanization- the context of Madhesh Neither the goals of increased agricultural productivity and income expansion nor those of greater equity in income distribution can be attained without increasing the interaction among villages, market towns, intermediate cities and metropolitan areas. Substantial movement of people from the mountain and hilly regions to the Terai have been observed. Greater population concentrations in the Terai may result in over-utilization of arable land. Considering that it would be very difficult to check this migration, the incoming populations need to be diverted into nonlandbased productive activities in the agro-industrial and agro-commercial sectors The number of emerging urban centers and smaller towns (market towns along EW Highway and nodal centers in rural hinterland) evidence increasing trend towards urbanization. The newly formed urban nodes and the expanding urban centres are essential for the continued expansion of agricultural productivity and diversification. 19 Potentials and Challenges …… continued These newly formed market centres and service delivery nodes in time will become small- and medium-size urban centres, further stimulating the on-going agro-commercialization and agro-industrialization processes in Nepal. These urban centres are also essential for meeting the increased demand for goods and services of the agricultural labour force. The combined effects of the expansion of agro-commercialization (via formation of market centres) and the availability of goods and services (via formation of urban services nodes) will be the industrialization of the agricultural sector through increases in technological agro-product innovations. Urban areas and towns lack basic infrastructure services. Safe drinking water supplies and electricity are inadequate in urban areas and towns, a situation that is endemic nationwide. There is virtually no sanitary waste disposal system, and solid waste systems are extremely inadequate. Urban road conditions are dilapidated. None of the urban areas has a functioning stormwater drainage system. The price of land and housing have been at the mercy of speculative market without adhering to quality supply of urban land, and there is a scarcity of financial resources for investment. 20 21 Proposed Urban Economic Growth Regions 22 23 Role of NGOs/INGOs Advocacy for promoting urban roles and functions as the engine of growth, based on following premises; (i) Urban areas drive economic growth (ii) Urban areas offer more employment opportunities, help reduce poverty and promote equity. (iii) Urban areas exert influence over surrounding areas by attracting people, goods and capital; (iv) The hinterland connection to its urban hub/or centers is essential to fully unleash economic potential of the respective urban economic regions (v) Urban Rural links are symbiotic rather than dichotomus. Following preventive measures are recommended to address the menace of unplanned urbanization: (i) Generating awareness among the communities regarding the irregular expansion of urbanization, (ii) Organising various activities to communicate in relation to environment and health, using the media campaign through radio, TV, papers, journals and pamphlets, (iii) Facilitating NGOs/INGOs to participate in operation and management of urban infrastructure and services following public-private partnership approach. 24 Thank you!!! 25