Growth of small cities

South Asia's lop-sided economic development has once again been highlighted by brazen neglect to small urban centres. The 17th annual report of the Lahore-based Mahbub al Haq Human Development Centre titled 'Human Development in South Asia 2014, Urbanisation: Challenges and Opportunities', unveiled at the city's BRAC Centre Inn, has come up with some uncomfortable facts and figures. It recognises that South Asia is the least urbanised region in the world. There is nothing wrong with this as such. Where things have gone awry is the fact that one-third of the region's population lives in towns and cities where three-fourth of its economic growth is generated. Further insight will reveal that small urban centres in most of the countries in South Asia with Bangladesh perhaps leading the pack, receive step-brotherly treatment. Small cities and towns compared with mega cities, the report notes, are far less developed offering meagre public services to their inhabitants.

The pattern of economic development in such urban centres all across South Asia by default indicates their immense potential. Mega cities now on the verge of bursting at their seams are proceeding towards a hopeless future. Transportation, utility services and many other urban facilities in cities like Dhaka in particular are on the breaking point. Yet the generation of resources in such cities points to the fact that decentralisation could have solved two most burning problems by one single stroke. Outrageous inequality within such cities and between them and small ones could be narrowed down on the one hand and on the other, economic growth could be speeded up by developing the latter with provision for decent urban facilities. That China has maintained double or near double digit GDP (gross domestic product) growth rate for about two decades is because of its decentralisation policy. Industrial villages set up in rural setting did the trick of leaving production cost low and also stemmed the flow of urban migration.

A small country, Bangladesh could have avoided the urban nightmares if only it adopted a policy of developing its towns and connecting them under a strong communication network. There was no need for satellite towns. Massive investment in its administrative capital city of Dhaka and its financial capital, Chittagong, to the neglect of other cities and towns has been responsible for most of the ills. There is no point depriving the various towns and cities once known for specialised production and business. Concentration on the capital or the port city has given rise to asymmetric economic development and regional disparities.

If one-third of a country's population can generate three-fourth of economic growth, what a prospect there is if the production base can be extended by developing the outlying towns and cities! Notably, living standard of the people who are moving the wheels of economy is pitiable, according to the report. This is proof enough that justice need to be done not only for small towns but also for those labourers who perform at the ground level. In mega cities, such inequalities remain hidden behind the dazzling high-rises but organised small towns could largely bury such atrocious inequality by designing better and efficient work environment.