“Cities in Asia have populations and economies the size of nation states,” Mr. Kuroda said in a speech at the conference. “For most major cities in Asia, growth rates are too rapid for their infrastructure to keep up.”
“Each year, there is a $30 billion shortfall in urban infrastructure investments, leading to greater deterioration of existing infrastructure and worsening urban environments.”
Mr. Kuroda cited a new report published by ADB, Managing Asian Cities, which outlines how the region’s cities can meet the enormous challenges they face. It says that the technology, money and skills necessary are available, but the current institutional structures needed for coordination, financing and capacity development are inadequate.
The challenge is underlined by the unprecedented speed of urbanization in Asia. While London, for example, took 130 years to grow from 1 million to 8 million residents, Asian cities are fast attracting a “tidal wave of humanity.” The Bangladeshi capital, Dhaka, is expected to grow from about 12 million today to 22 million within a decade.
“Effective urban management is needed to counter this unparalleled growth but it is lacking, and the results are clearly evident in pollution, no drinkable water for over 50% of urban residents, half a billion slum dwellers and crippling traffic congestion,” the report says.
The report says a “wholesale rethink” is needed on how cities are laid out to reduce the use of private vehicles. “How can new cities be planned in an energy-efficient way and how can existing ones be structured to minimize the need for movement.”
New approaches are also needed on energy use, the management of household rubbish and other solid waste, sewage, water supply and other urban infrastructure issues.
