1 Urbanization Issue in the Era of Globalization: Perspectives for Urban Planning in Kigali Abstract Kigali has embarked on rapid urbanization and modernization process. A growing number of its inhabitants, mushroom residential and business buildings, infrastructural development and a clean city are indicators of that dynamic among others. The housing issue, particularly for the lower and medium classes, remains however a challenge which continues to impact on their living condition but also on sustainable urban planning. This paper critically analyses that issue from land and housing affordability perspective. It proposes a viable framework to create a sustainable and inclusive city. 1. Introduction “A growing extent of social disorganization and crime is a function of substantial inequalities in access to land, housing and other services in the cities” (Connell & Lea 1996, 177). Urban inequalities appear at the outset in residential standards through the extremely expensive houses and luxury flats on one hand and marginal constructions of shantytowns on the other hand. This is because policies are largely aimed at promoting economic growth rather than reducing problems associated with access to equity and distribution of urban services. Such problems are among current urbanization1 issues in developing countries. Urban planning policies and strategies are conceived in a globalization dynamic with creation of modern cities focusing on the development of infrastructures which facilitate businesses like towers, new tourist establishments, hotels, while less emphasis is laid on widespread problems of housing and promotion of access to the full opportunity of urban life for all urban residents. More recently, the Government of Rwanda has elaborated a series of urbanization policies in an attempt to transform Kigali a tool to envision the Rwanda’s future and development. In 2002, two years after the publication of the Rwanda Vision 2020, considered as a road map for the development of Rwanda, Kigali Economic Development Strategy was elaborated with a focus on “Building the Foundation to Compete in the Global Economy in the Future”. This theme relates to the importance of making Kigali a place that is attractive to, and supportive of, business and 1 Urbanization refers to the increase in the proportion of people living in towns and cities (Waugh David, 2009). 2 investment, both within the Central/East African region and within the world’s economy (City of Kigali, 2002). The Rwanda Settlement Policy and the Urban Infrastructure and City Management Program completed in 2004, and the Rwanda National Urbanization Policy published in 2007 all focus on Kigali City. Since 2008, Kigali Conceptual Master Plan (KCMP) projected in 2050 is under implementation. Despite these policies and the related implementation processes, it appears that there has been increased evidence that uncontrolled urban growth and housing remain the pressing issues in terms of making Kigali a modern and sustainable city. This is a consequence of 1990 civil war which culminated into the genocide perpetrated against the Tutsi in 1994. A big number of people displaced by the war and the refugees repatriated since 1994 converged in Kigali city. The ruralurban migrations continue to increase the population size of Kigali (Gazel, H. Harre, D. & Moriconi-Ebrard, F. 2010). This has therefore led to the problem of land and housing availability and affordability. Availability in this regards refers to access to urban land for housing. It is somehow complex because of urban land demand and planning strategies. Construction is only allowed in restricted zones and strictly prohibited in the vast remaining administrative territory. The result is that plots and housing market become expensive, speculative and unaffordable for the majority of urban dwellers. The affordability refers to the ability of households to repair loans used for the construction and purchase of houses, and to pay for the provision of services and related infrastructures (Kok, Hall & Nieuwmeijer, 1992). These critical issues affect mostly the urban poor. There is spontaneous settlement by low-income households who settle in poorer neighborhoods located or created in the periphery of the capital city to the extent that the spatial urban growth is difficult to be managed. Although various measures and interventions have been undertaken for urban development, the provision of land for low-income housing remains a very complex matter. The Kigali Master Plan and districts plans provide zones for that purpose but a high demand leads to the scarcity of affordable plots, which results into low-income housing shortages. The concern is that while many efforts have been made to implement the Kigali Conceptual Master Plan to modernize the city, spontaneous settlement continues to develop within the city and in its peripheries. 3 The modernization of Kigali to meet its requirements is crucial and not optional at this period of globalization and a world interdependence (Connell & Lea, 1996). Urban modernization and creation of adapted infrastructures is necessary. However, high rate of unlawful settlement indicates the need to review and harmonize the urban planning policies and implementation strategies to the urban households’ capacities. This paper explores this problematic with the objectives to outline perspectives for not only a sustainable city creation but also a “city for all”, an inclusive city. Data presented in this paper are drawn from different sources: written documents such as books, articles, reports, policy documents; participative observation and analysis of urban dynamic for a period of five years, and interviews with different urban actors including planners, local leaders and population. 2. Urbanization and globalization The world system structure is arranged according to the global capitalism. This structure has a core, (developed countries), where production processes are advanced requiring massive concentration of capital and the highest level of skills; and a periphery (developing countries) that lacks capital, technologies, market power, wealth, and a bunch of the other vital valuables of production. Cities stand now as core on both internal and international levels. They are the centers of civilization, labor creation and international financial exchanges (Sachs, 1996). The present development dynamic requires the creation of modern and competitive cities capable of connecting global actors and economies (Peemans, 2008). Global economic system has shifted from one of protected or closed national economies, to open, liberalization and competition one. The nature of global competition progressively changed its nature from labour intensity in 1960s to capital intensity in 1970s, technology in 1980s and information in 1990s (Stopford & Strange, 1991). Badcok (2002) argues that, the cross-border mergers and acquisitions characterized by global and integration of international finance with global investment and markets in services (banking, insurance, hyper-mobility), financial markets globally linked and working around the clock, with action at a distance in real time remain one of the hallmarks of globalization. 4 Globalization affects the fate of cities abound. It facilitates the rise of mega-cities which are powerful enough to challenge the nation-state (transactions are mainly made between corporations) and to determinate its fate in terms of development. Cities became privileged and powerful world economic dynamic leaders. They concentrate population, centralize entirely important economic activities and contribute significantly to the global GDP growth. They generate more than 80 percent of global GDP today. Only 600 urban centers, with a fifth of the world’s population, generate 60 percent of GDP” (Richard & al. 2011). The notable urban growth and economic role of cities have become more significant since the end of World War II because of modernization and globalization processes. In 1900, only 13 cities had over one million of inhabitants each one and 28 million inhabitants in total, but the number increased to 66 in 1970 accommodating 430 million of population (Bairoch, 1977). Only 4 cities had over 2 million of inhabitants in 1900 but they grew to 10 in 1920 and 29 in 1950 (MoriconiEbrard, 2000). The majority was in the developed region, but recently they have emerged promptly in developing countries. In 2000, around 111 of 165 cities of over 2 million populations all-over the world were located in developing countries (Cadène, 2000). In 2007, the 380 developed region cities in the top 600 cities by GDP accounted for 50 % of global GDP, with more than 20 % coming from 190 North American cities alone. The 220 largest cities in developing regions contributed another 10 %. By 2025, 136 new cities from the developing world are expected to enter the top 600; 100 of them from China and 13 from India (Richard & al. 2011). The growth of mega-cities goes in parallel with the rapid increase in the proportion of population living in small and intermediate urban centers. Currently, more than half of the world’s population already lives in cities. Apart from the natural increase of the population, migrations are the main factors of urbanization. About 30 million people leave the land or small villages in the countryside to move to towns each year (Badcock, 2002). Although the rate in some countries has been interrupted and is now at a low level in developed countries which are in the last phase of urban transition, it shows no sign of abating worldwide. An unprecedented population growth in urban areas has been taking place in developing counties, particularly in Africa, which are shifting from early to the second stage of urban transition (Figure 1). This is because of rural-urban migration (Moriconi-Ebrard, 2000). 5 Figure 1 : World urban population trend, 1950-2050 100 90 80 70 60 50 40 30 20 10 0 World More developed Less developed North America Europe Latin America & Caribbian Oceania Asia Africa 1950 29 53 18 46 51 41 62 51 15 1975 37 67 27 64 66 61 72 66 26 2007 49 74 44 74 72 78 71 72 39 2025 57 79 53 81 76 84 72 76 47 2050 70 86 67 86 83 89 76 84 62 Source: UN-Habitat, Planning sustainable cities, 2009 Africa is urbanizing faster but in a chaotic way. Inequalities in the cities and a high rate of slum population remain pressing challenges. The Gini index shows alarming rates in different cities2. The informal settlement and growth of slums with poor living conditions increase exposure to disease because of overcrowding, inadequate housing and poor access to water and sanitation that are typical of slums. Around sixty two percent of African cities are composed of slums, much of them on informal land arrangements (UN-Habitat, 2012). The mismanagement of land and a poor governance framework are fundamental factors of urbanization challenges in Africa. There is a lack of appropriate land management systems to deal with increasing shortages of serviced and well located land; peri-urban sprawl (often on customary land); pervasive land grabbing; widespread informal land delivery; cumbersome and expensive registration procedures; incomplete land records; under-resourced, inefficient, highly centralized land agencies; fragmented mandates involving several central and local government entities: inappropriate land allocation monopolies; gender exclusion; and poor public land management and corruption (Africa Ministerial Conference on Housing and Urban Development [AMCHUD], 2011). The creation of better-off neighborhoods and businesses leads to poor urban dwellers eviction and settle themselves in unsuitable zones. 2 Johannesburg 0.75, Addis-Abeba 0.61, Nairobi 0.59, Abidjan 0.53, Kigali 0.559. 6 Rwanda appears to be on good way with regard to land management. Land registration and management policies have been elaborated and completed. Land tenure is legally ensured for every owner. Although efforts have been made in this regard, urbanization issues based on land issues are still alarming because of the rapid urbanization process. Since 1990, rural settlers have migrated to development growth points significantly. From 3% in 1970 to 5.6 % in 1991, the urbanization rate has increased to 16.9 % in 2002 (National Census Service [NCS], 2002) and around 19.3 % currently3. That urbanization process has happened in a rapid and uncoordinated manner so that social services, employment opportunities as well as infrastructures are lagging behind. The urban population growth has intensified informal settlements on land that is considered inappropriate for development like steep hills or valleys with almost no amenities or basic infrastructure available. This has exerted further pressures on the already inadequate infrastructure and stands as an obstacle to the urban development, planning and upgrading. By projecting an increase of urban population to 27% in 2020, the target is to have regularly updated urban master plans and specific land management plans, and to develop basic infrastructure in urban centers for promoting the conditions of living of the growing urban population and the development of the country (Government of Rwanda [GoR], 2000). Kigali, the capital and the biggest city of the country, is expected to open a new era in the development of Rwanda. Since the beginning of this millennium the Government of Rwanda has embarked on developing Kigali as a regional and a global leader in sustainable urbanization and improving the opportunities and potentialities of a modern and competitive city. 3. Kigali: towards a modern and sustainable city 3.1. From a village to a city From a small hub Kigali has become a big city but with still urban planning challenges. Kigali exists since 1907. It was created by Richard Kandt, in Gakinjiro, very close to the current Kigali City Market, as a German administrative residence. It remained a small colonial outpost with little 3 http://www.statistiques-mondiales.com/rwanda.htm (10.4.2012) 7 link to the outside world until World War I. In 1916, Germans were defeated by Belgian troops, and Belgium occupied Rwanda until it got its independence in 1962. The growth of Kigali under colonial rule was very slow, and was contained primarily on the top of the Nyarugenge hill. Wauters argues that Kigali was a small village with primarily administrative functions in 1962 (quoted by Sirven, 1984). Its population was estimated to 6000 inhabitants on 2.5 km². From then on the city expanded to 112 km² in 1990. The administrative reforms of 2000 and 2005 extended the city boundaries to 314 km² in 2000 and 730 km² since 2005 (GoR, 2005). The urban population increased likely. From 1962 to 1991, the population of Kigali increased rapidly from around 6,000 people to nearly 235,664. Despite the war and the genocide perpetrated against the Tutsi ensuing chaos that reduced significantly its population to around 50,000 in 1994, Kigali has continued to grow. The general census of 2002 showed that the population of Kigali was already 608,141 inhabitants, that is an average annual growth rate of 9% since 1991 (HERASHER, 2006; SNR, 1978 & 1991). Currently Kigali counts 1,135,428 inhabitants (MINECOFIN, 2012). The reasons for this population growth include a high birth rate combined with a high level of positive net migration4. In its urbanization process, Kigali followed a concentric urban land use model from the CBD, to low-class and medium class residences areas and modern, high-class housing in the suburbia. After the independence and particularly since 1990s the city started to grow rapidly in a spontaneous, uncontrolled and haphazard way. Kigali has been witnessing an unprecedented urbanization rate which has resulted in rapid urban expansion beyond the control of local and urban authorities. Urban development has occurred in wetland areas and areas of steep slopes. Around 19% of the built environment of Kigali is on land that is not ideal for development (Kigali City, 2007). In a bid to manage the proper land use, the city has been extended to huge fringes of per-urban and agricultural land zones engulfing rural residents which become submissive to urban regulations but this did not limit the informal settlement. The urban mosaic is now characterized by modern offices, hotels, business buildings and an urban divide observed from luxury dwellings and neighborhoods for the elite which co-exist with the low income squatters and spontaneous areas. 4 The 2002 census revealed a net immigration of 230,257 inhabitants (NCS, 2002). 8 Rapidly increasing inequality, rising informality and mushroom of urban slums and informal settlements as well as low levels of quality of life are experienced. Figure 2 : Stippestate, Gisozi After the 1994 genocide perpetrated against the Tutsi planned estates have been developed in different areas like Figure 3 : Kibiraro slum, Remera Nyarutarama, Gacuriro, Kagarama, Gisozi, etc. Urbanization has not been matched with a corresponding increase in provision of services and infrastructures facilities to the majority of the urban dwellers like transportation, housing, education, health, sewage and sanitation infrastructures. Over 70% of Kigali city is occupied by informal settlements; most of which are found in poor neighborhoods. The 2002 general census revealed that around 58 % live in spontaneous settlements and 22.8 % in isolated ones. While 43.1 % live in their own houses, 47.6 % are tenants. There are inadequate urban services and few amenities. Only 20 % have water in their households, 45 % buy water from vendors while 28.4 % fetch water from boreholes and natural springs. Only 37.2 % have access to power energy. Traditional pit latrines are dominant excreta management systems: 51% private latrines and 44.4 % public ones compared to only 3.4 % households who use automatic flushing toilet and 1.1 who do not have toilet at all (NCS, 2002). Only 30% of Kigali is covered by paved runoff water infrastructure, and all this is found along main roads and in the city centre (Sano, 2007). As a metropolis city with varied population and such urbanization problems, there is a need for a sustainable planning and urban development to enable Kigali and its population to maximize its economic potential such as increasing job opportunities and income, and to identify ways of enhancing the revenue capacity required to meet its social-economic service needs. 3.2. Kigali Conceptual Master Plan, a key tool for urban development KCMP stands as a tool to address the urbanization challenges that Kigali has undergone for a long period and to sign the urban renewal, upgrading and sustainable urbanism. This requires the 9 infrastructure improvements to achieve sustainable urban settlements by prioritizing retrofitting of infrastructure in informal settlements and incorporating cutting edge appropriate and affordable technologies. It requires also affordable housing for both lower and middle income families and to explore and test new housing technologies in Kigali (Kigali City, 2007). The overarching goal of KCMP is to ensure sustainable urban development by using Rwanda’s natural and human resources through the balancing of ecology, equity, and economy. By searching the way to meet the needs of the present without compromising the needs of future generations, this goal aims to protect the natural environment, exercising “best practices” to minimize environmental degradation, pollution and waste; to promote equitable solutions that protect the interests of all people including marginal populations; to support economic development opportunities for all with appropriate urban development and infrastructure and to ensure urban economic growth that will play a dynamic role in facilitating national economic growth of Rwanda (Kigali City, 2007). KCMP covers general land use, transportation, and natural features plans. These Plans are conceived in the modern global economy taking into account factors that are specific to Rwanda and its history context. They are tools to “build neighborhoods for all citizens, promote public health and child development, help protect the environment and mitigate climate change, support social cohesion, and foster economic growth” (Rubinoff, 2011, 9). In that regard, policies, institutional reforms and many achievements have been completed and other activities are currently underway as Rubinoff (2011, 2-3) continues highlighting it: Concerning urban planning, Nyarugenge District Plan, the Kigali Central Business District (CBD) and 6 Sub Area Plans including detailed land use planning and zoning, infrastructure design (transportation, drainage, sanitary, water systems and power system design) have been completed. The plans comprise Kinyinya Township (80,000 population and 387 Ha) and Kinyinya Town Center (30,000 population and 200 Ha), a 90 Ha Resort and Conference Center at Rebero, a 90 Ha Urban Center at Kimihurura, the Niboye Sub Area ( 900 Ha) and the Masaka Sector, (4500 Ha) which has been planned to accommodate almost 300,000 residents. The two other District Plans for Gasabo and Kicukiro are expected to be published very soon. 10 Figure 4 : Rebero Figure 5 : Kimihurura Plan Construction Permit Reform has been completed. The access to a construction permit is no longer a problem like in last years. Reforms have been made in this regard. As illustrative examples, The Kigali One Stop Center addresses now all major property development; district Land Bureaus handle single family residential construction permits with Management Information System (MIS). Recently, the district of Gasabo which used to have serious problems of land administration has opened its One Stop Center which facilitates in dealing with all land issues in a harmonious way. Infrastructural development like road paving, traffic lighting, pedestrian overpasses, and distribution of power and water services … is on good progress. In housing sector, efforts have been made to promote affordable housing clusters neighborhoods. Rwanda Housing Authority (RHA) has been working with different institutions like KIST, international architects and the World Bank to refine architectural solutions and financing mechanisms. Finally, the promotion of Kigali image and reputation worldwide as a Clean and Green city. Kigali is viewed as a good place to “Do Business,” and a safest and secure city in Africa. 3.3. Urban land use strategies and challenges As was noted previously strategic measures have been set to implement the KCMP. They include collaboration with the private sector like Property and Real Estate Developers, Financial Sectors, Land Planners and Architects. The private developers benefit facilities to invest in infrastructural development domain. The expropriation in the context of implementing the master plan is allowed by the expropriation law as done in the public interest. Currently, the redevelopment of Central 11 Business District and the clearance of the surrounding slum like “Poor-Kiyovu” and Kimicanga are underway. The city has been extended far away in the rural areas now under urban regulation and no construction within the city boundaries is allowed without the construction permit. The informal settlement is strictly prohibited and controlled. Although the strategic measures that have been taken have solved some key issues, they have not gone without consequences that are worth mention here. Housing has become an increasingly expensive commodity in Kigali. Bulldozing informal neighbourhoods without constructing lowcost houses leads to the scarcity of affordable houses and high increase of rent. The average cost of a decent middle-income family house is over 40 million rwf, which represents 8 times the average annual salary of a University Lecturer, and 16 times of public sector professional personnel. The house in the private developer’s estates is estimated at over 70 million and the price grows regularly. There are examples to substantiate this: in 2003, a family bloc in the Gacuriro Estate 2020 houses was sold at 26 million in 2005, but its value is currently estimated to 100 million. The similar house in Umucyo Estate at Kinyinya was sold at 69 million in 2011. Recently in 2012 a residential house in Sunset Estate in Kibagabaga was being sold at 175 million each. Housing issue starts from access to land. Land is not only a pre-requisite for housing but also one of the major shares of the cost of creating a house. Plots in a planned area are extremely expensive and it takes so long, even sometimes impossible, for formal housing to be conferred in areas not yet planned. Urban land market is expensive, speculative and skewed against the poor people (20 % under poverty line in Kigali). For example, a formal plot that was valued at 102.000 rwf in 2000 is between 10 and 15 million currently and even more depending on the area. Both land market and high cost of building materials for a standard house in the city make construction budget much cost. There are the major impediments to adequate affordable housing options for the urban poor and the low-income family housing access. Only a small number of urban inhabitants are able to build their own houses in a legal way. The housing inaccessibility for the majority leads to a buoyant informal sector where low-income households find affordable housing solutions and access to land. Poor and other vulnerable and disadvantaged groups are prevented from gaining access to suitable housing authorised by the master plan, which does not pose economic, environmental or health risks. They use all illicit 12 strategies, with various risks of course, to construct in suburbs. Some people prefer moving to peri-urban areas where they can settle sustainably according to their income. This is however the exportation of urbanization problems from the city to the periphery as is the case in Muyumbu, Nyagasambu, Runda Kajevuba and Karumuna zones. The competition and upward pressure on land values is now a serious challenge in those zones. Table 1: Cost of standard plots (600 m²) in selected zones of Kigali and its periphery Sector & District Kimironko Kimironko Gasabo Rubirizi 5–8 Kanombe Kicukiro Nyanza 4–6 Gatenga Kicukiro Zindiro 4–6 Bumbogo Gasabo Rusororo 3-6 Rusororo Gasabo Ruyenzi 3–4 Runda Kamonyi Kabuye 2–4 Jabana Gasabo Mageragere 1–3 Mageragere Nyarugenge Muyumbu 1-2 Muyumbu Rwamagana Source: Land speculators, 2012 Zones Prices in millions rwf ≥ 10 Comments Like other TTP and structured settlements zones Niboye, Kagarama, Rugarama etc. Urbanized zones like Samuduha, Kanombe, Nyarugunga becoming densily populated. Like Ndera and Busanza, two urban zones with less urbanization dynamic. Low and Medium standing plots like Kabizoza, Amakawa. Plots for staff of different public institutions reserved for one floor residential building. Peri-urban areas in intensive urbanization process. Area where plots are available but not attractive like eastern zones of Rwamagana and Bugesera. Low standing like Gashushya, Birembo, Nyakariba, Nyagasozi, Gasanze. Peri-urban zone being urbanized like Nyagasambu, Kajevuba and Karumuna. 4. Perspectives for sustainable urban planning The sustainable urban planning can be seen in the context of the sustainable development as defined by the World Commission on Environment and Development (1987). According to the Commission, sustainable development is “a development that meets the needs of the present without compromising the ability of future generations to meet their own needs”. It involves the interconnectedness of economic, social, and environment. In terms of urbanization, it is the way of 13 improving people’s standard of living and quality of life without wasting resources or harming the environment (Waugh, 2009), or bringing the economic development of the cities into harmony with the natural environment and the overall system of settlements in a sustainable way (Allen, 2001). Allen argues that Economic sustainability refers to the capacity of putting resources to productive use for the long-term benefit of the community without increasing the city’s ecological footprint. The Social sustainability can be understood in terms of the fairness, inclusiveness and cultural adequacy of an intervention to promote equal rights livelihoods and lives of local communities, with particular emphasis on the poor and marginalized groups. Ecological sustainability pertains to the long-term consideration of the relation between the state and dynamics of environmental resources and services and the demands exerted over them. Urbanization seems currently as a process which cannot be stopped. It is a natural progression to be planned and run effectively. If people are no longer able to make agriculture a living doing in rural areas, their remaining option is to move to where the jobs are. Migration towards urban centres should not be viewed as a big issue. The challenge is rather a bad planning and management that fails to predict infrastructures and perfectly assess needs for land, homes, jobs, and other urban facilities and needs. The management of urban centres is not a task of people but of improved urban governance. Governments and various urban actors including private sectors and of course the population must work hand in hand to create and facilitate the development of a livable and an inclusive city. That is a city that promotes, according to UN-habitat (2012), four dimensions of equality: social, political, economic and cultural. Socially, it provides all residents – regardless of race, ethnicity, gender or socio-economic status – with adequate housing and decent basic services, and facilitates equal access to social amenities, opportunities and other public goods that are essential to the general and environmental well-being of everyone; Politically, it upholds citizens’ rights and liberties, and promotes social and political participation for the sake of better-informed and more democratic decision-making; Economically, it fosters economic development by way of equal opportunities for business and access to employment, and promotes pro-poor economic policies; 14 Culturally, it promotes social integration and celebrates diversity. It values people’s cultural rights, recognizing the human capital of all segments of society, which it strives to enhance through promotion of creative artistic expression and heritage activities. Inclusive policies in that context should acknowledge the dynamics of the urban divide; and focus on components that could be integrated to formal urban norms and practices, such as the informal economy, social capital and informal institutional arrangements, including affordable land delivery and housing systems, etc. Planning a sustainable and inclusive Kigali must take into account a number of factors. Kigali is urbanizing rapidly. It attracts the population from rural areas and urban centers of the country. The majority is in poor category. This influx has resulted in the informal urbanization in the way that everyone needs to have its own house in any case. This is a Rwandan culture challenge that should be abolished and adopt a rental one. It is unimaginable for each individual of one million population of Kigali to have their own house. There must be strategies to accommodate immigrants in the city or to maintain people in their native village in a bid to reduce the immigration rate in Kigali. Large-scale poverty reduction programs and the development of intermediate urban centers can be considered as effective strategies in that perspective. While the rapid urban growth and slum formation seem to be progressive in the cities of Rwanda, urban planning policies must be undertaken within a national political, social, economic and environmental context which put forward plans and implementation mechanisms that are adequately monitored with regard to urban population capacities. The participatory approach is a best way to that end. Population and grassroots associations have to take part in urban policies debate around land use, housing and slums issues as they are the first to be affected, and to establish a framework for their participation in policy implementation. Urban institutions capacities and structures have to be strengthened for a good, rapid and harmonious service delivery. This has started through district land bureaus and Kigali One Stop Center but improvement is still needed to satisfy a high rate of urban services. Master plans must not be rigid tools of urban planning but guiding instruments for a sustainable urban development and inclusiveness. It is necessary to go beyond formal ways of funding 15 housing and explore other instruments that may result in making housing financing available to boost housing supply and eventually producing cheaper house prices and halting slum formation. Batsinda project is a good model to that end. There are now some physical plans for low-income families housing like Birembo, Zindiro, Amakawa, Kabizoza, Nyakariba, Nyagasozi in Gasabo district, others in Mageragere sector of Nyarugenge, etc. However the expected beneficiaries are not the ones who take advantage of them. Small plot of 300 m² and 600 m² are produced but high demand makes them much costly and speculative to the extent that the poor cannot afford it. For example, a 600 m² plot stands between 4 and 6 million at Amakawa and Zindiro while it was around 2 million in last two years. The individual typically plots standards of 300 m² and 600 m² propel urban sprawl and are costly for housing. It would be better to promote densification through appropriate legal tenure systems (e.g. condominium or high-rise residential blocks) which enable access to shelter to be separated from access to land. The land use strategy that focuses on density, mixed use and co-location affordable housing clusters neighborhoods as expected in Kigali Conceptual Master Plan is to be boosted ahead. Building firms, local private sector organizations, and international stakeholders are to be highly encouraged to invest in the housing sector. Real estate developers like Rwanda Social Security Fund, Real Contractors and others which are already contributing in this sector also have to invest in hostels with apartments instead of single family houses. In a city like Kigali urbanized at over 70 % in a spontaneous way, informal settlement and slums might not be demolished but upgraded in a bid to promote the livelihoods of their residents because they contribute to urban socio-economic dynamic, growth and prosperity. Recently, Rwanda Housing Authority has adopted a new urbanization approach which goes in line with this perspective. It emphasizes on empowering people to develop their localities instead of expropriating them because they relocate themselves to slums or wetlands after expropriation. People must be offered assistance to develop their neighborhoods rather than resettling them (Mugisha, 2012). Upgrading informal neighborhoods must be considered in combination with preventing irregular constructions particularly on vulnerable landscapes. 16 5. Conclusion Rapid urban growth and housing needs of a broad range of low-income groups remain huge challenges which make an impact upon urban development of Kigali. The mechanisms applied for transforming Kigali a modern and sustainable city lead to the exclusion of a big number of urban dwellers. There must therefore be a proper way to run the city, to tackle the urbanization trend and problems, and to promote social, economic and environmental sustainability. In Kigali, like other cities of developing countries, urban development is currently viewed in a modern global dynamic. Kigali has to upgrade its infrastructures in that regards and become a center of businesses but also a sustainable living one. Urban modernization and development is not only raising modern buildings and skyscrapers after bulldozing shanty towns as it is used to be in many developing countries (Magnaghi, 2000). Sustainable urban planning has to be understood as vital to both national economic growth and social resilience and improvement of living conditions of the population. It is a process which needs an equitable urban land use planning to alleviate poverty, inequalities and urban divide reflected in slums booming. The current urban land market in Kigali is not delivering sufficient quality of land for the poor and increasing size of migrants. Therefore, the land and housing markets must be regulated and urban planning policies are to be initiated in their favour rather than pushing them in slums and in urban fringes; otherwise they will continue to plague the sustainable urban development through constant urban sprawl. 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