Introduction

China had more urban than rural residents for the first time in 2011. The urbanisation rate reached 52.6 percent in 2012, a major milestone with significant implications. In the midst of this urban transformation, China's leaders have increasingly emphasized the quality of development, moving away from a narrow focus on economic growth. Concepts such as the ecological civilization, the circular economy, the low-carbon economy, quality of life and social concerns appear more frequently in the statements of political leaders. The shift is also evident in the 12th Five-Year Plan (2011-2015). These developments prompted UNDP's decision to explore urbanisation in its National Human Development Report 2013. The report builds upon the series of previous National Human Development Reports, which have addressed issues such as public services, inequalities and low-carbon economies. The report examines urban trends, but unlike many others that assess the macroeconomic and environmental dimensions, it primarily considers impacts on people and human development. It selects some issues that pose the greatest challenges to China's future, and are of particular relevance and interest to policy makers