Cities and Towns

Cities and towns are not only growing in size and number. They are also gaining new influence. The urban transition offers significant opportunities to improve the quality of life, but whether this potential is realized depends critically on how cities are managed and on the national and local policies affecting their development. The development of urban areas is also closely linked to the rural economy through the exchange of labor, goods, services, information and technology. Neglecting urban issues leads to significant social and environmental costs , however. In the two most urbanized regions that the World Bank serves, Latin America and Europe/Central Asia, over half of the poor already live in urban areas.