Urbanization and Development: Policy Lessons from the BRICS Experience

Much of the world is in the midst of a global urban transition that, together with economic globalization, is shifting the economic loci of development. Economic power is drifting southward, most notably towards the large and emerging economies of the “BRICS”: Brazil, Russia, India, China and South Africa. The BRICS’ integration into the world economy has been well-scrutinized but the specific role urbanization and urban growth processes played in these countries’ recent economic and demographic transformation is still understudied and undervalued.

This paper suggests that examining these diverse urban transitions yields some powerful lessons for other countries. It discusses the individual experiences of each BRICS country, drawing out issues other countries may face. History shows that as economic activity becomes more concentrated in some places, and as a country’s income rises, the share of the population living in urban localities grows, often sharply. This “urban transition” process parallels the better known “demographic transition”, in which mortality and fertility rates both tend to fall as countries achieve economic success. The BRICS yield up some examples of how to seize the opportunities that urbanization can provide and how to pursue inclusive urban development. They also highlight the problems inappropriate policies bring. All these countries have gone through difficult periods during their urban transitions, and several still bear heavy burdens of past failures to process urban growth equitably and efficiently.