Policy brief, number 11, 2014

[From Introduction] Urbanisation in sub-Saharan Africa: changing the locus of poverty. Urbanisation is a global phenomenon that is changing the face of the Earth, as well as how people earn a living and secure their livelihoods. In 2006 the number of urban people in the world surpassed the number of rural people, and this gap will continue to grow. In only 16 years (by 2030) just under two-thirds of the world's people will be urban dwellers. Whilst most of the developed world and large parts of Latin America already have more than threequarters of their populations living in cities and towns, most countries in Asia and sub-Saharan Africa are still catching up. This means that they are experiencing massive migrations from rural to urban areas as rural people wish to swap the insecurities of rural living for the allure of secure employment and better services for health, education, sanitation and transport in towns and cities. Sub-Saharan Africa (SSA) is the most rapidly urbanising region of the globe. According to UN-Habitat, in 1990, only 28 % of the region's inhabitants lived in towns and cities; that increased to approximately 32 % in 2001 and 41 % in 2010. The size of the urban population is likely to surpass the rural one around 2025. Contrary to popular belief, most urban residents in SSA (and globally) live in small towns rather than massive megacities; with just over half living in towns of less than 200,000 people and 78 % living in towns of less than 500,000 residents. Only 14 % of urban dwellers live in cities of more than one million people. Many new urban households maintain strong links to relatives and clans in rural areas, with circular migration patterns emerging as the urban transition takes place over several decades. The implications of this extremely rapid urbanisation in SSA countries for livelihoods and poverty are widely debated. UN-Habitat highlights a relatively unique aspect of urbanisation in SSA as being the accompanying high rate of growth in informal settlements or slums. In other words, not all rural migrants to towns and cities find secure incomes or shelter. Some slum areas have become permanent features where inter-generational poverty is reproduced. Although urban areas are producing an increasing share of national wealth in SSA countries, some argue that slowly the nexus of poverty is shifting towards urban areas. Rates of poverty are high in rural areas of SSA, but migration and internal population growth means that in some countries the number of urban poor almost matches the number of rural poor, and it is likely to grow. The informal economy contributes an average of 40 – 45 % of total urban GDP, which is higher than any other region of the world