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Urban Development

Have Innovation and Entrepreneurship Found Solutions for Affordable Housing?

Joe Qian's picture

The recently elected government has recently announced an ambitious goal of eliminating slums in India in its most recent five year plan. Will this be a possibility? If you ask the construction companies, the answer is yes. A number of entrepreneurs and enterprises have embarked on new initiatives to provide affordable housing called such as Tata and its construction of Shubh Griha north of Mumbai.

With the increased rate of economic growth over the last few years, housing developers have tended to focus on the higher end luxury developments causing property prices to soar; I was astounded that luxury apartment homes in Mumbai cost the same as they do in New York and London. As demand for these properties have fallen due to the global financial crisis and increased interest rates, the focus on lower cost housing has increased due to a larger market coupled with acute shortages of housing in urban India.

The Resilience of Bangladesh's Economy May Again be Tested This Year

Zahid Hussain's picture

The Bangladesh economy entered FY10 in a position of strength, notwithstanding some pretty tough global circumstances. Good recovery in agriculture, a sustained growth in exports and remittances, and a steady growth in services helped achieve an estimated overall growth of 5.9 percent in FY09, compared with 6.2 percent in FY08. A decline in international commodity prices driven by the global recession and an improvement in domestic food supplies brought inflation down from 10 percent in FY08 to an estimated 7 percent in FY09. Rice prices have remained stable too at nearly 40 percent below the peak reached in April, 2008. The economy has shown reasonable stability in terms of most other macroeconomic indicators. The external current account has been in a large surplus; the exchange rate has been stable; foreign exchange reserves have reached record high levels of nearly $7.5 billion; fiscal balances have been contained; and private credit growth has remained decent.

This is all good news but it doesn’t mean Bangladesh goes totally unscathed by those tough global circumstances.

Will the Nano Fulfill the Promise of Mobility in Developing Countries?

Joe Qian's picture

Much in the same way the Ford Model T revolutionized transportation in the United States and the Volkswagen Beetle did in Germany, the Tata Nano (small in Gujarati) seeks to do the same for India and the rest of the developing world, with millions still seeking to realize dreams of four wheel mobility. Will the Nano become a resounding success and revolutionize the concept and accessibility of the car, or will it cause increased problems and growing pains in its mission to provide transportation to the broader public?

With a price starting at $2,200 dollars including taxes and fees, the Nano significantly undercuts the current cheapest car in India by almost half and may open the door to aspiring drivers around the world as the most affordable automobile in history (when accounting for inflation). The market potential is seemingly unlimited as only 0.7% of Indians owned automobiles in 2007.

However, economic development has already caused an explosion in the number of motor vehicles perpetuating increased fatalities due to accidents, standstill traffic, and smog filled cityscapes.

Its founder, Ratan Tata says that his inspiration is derived from poignantly watching the way entire families are transported on motorcycles complete with a rider, passenger, along with two children hanging onto the back. He noted the terrible toll in road deaths involving two-wheelers and called for a safer four-wheeled vehicle that will transport families in a dignified manner.

Mongolia's growing shantytowns: the cold and toxic ger districts

David Lawrence's picture

 

Children breathe thick, toxic smog from thousands of stoves in Ulaanbaatar's ger districts, which are home to 60 percent of the city's population.
There’s no capital city anywhere in the world with a housing problem like Ulaanbaatar, Mongolia. Imagine a city of one million people. Then imagine 60 percent of them living in settlements without water, sanitation or basic infrastructure, often in traditional Mongolian felt tents, known as gers. Then imagine these people relying on wood- or coal-burning stoves for cooking and heating, with fuel costs eating up 40 percent of their income. Then imagine the discomfort of having to get up in the middle of the night when it’s -35 degrees Celsius to go to the bathroom – outdoors.

Worst of all, imagine you and your children breathing the thick, toxic smog from thousands of stoves 24 hours a day, seven days a week. Unfortunately, this is not imagination, this is the real situation for over a half million people living in the ger districts of the capital. Not a pretty picture.

Where “Green” Equals “Affordable”…

Ashna Mathema's picture

The construction industry is a major contributor to greenhouse gas (GHG) emissions, and the urban housing constitutes a large part of the construction industry. With the urbanization and lifestyle changes taking place in developing countries, the demand for urban housing can only be expected to grow, and accordingly, the GHGs emitted from its production.

There has been much advancement in green technology in recent years, but  much of this “high performance” green building is high-tech and capital intensive, often with high upfront costs, as a result of which it still remains a luxury supported by rich nations and wealthy individuals. In the developing country context where huge segments of the population are in the lower income segment, lacking access to essential services or housing, this type of approach to addressing climate change is unaffordable and largely irrelevant.

Video: Getting commuters onto bikes in the Philippines

James I Davison's picture

A couple weeks ago, blogger Chris Pablo wrote here about a project designed to get more people in the Philippines riding bicycles by creating and designating separate bike paths in Marikina City, a medium-sized city at the eastern edge of Metro Manila.

Chris writes:

The project, which started in 2001, seems to have achieved its demonstration effect. From a survey done in 2006, the share of bike trips to all trips in the city increased to 9.5%, from 4% in 1999. Bicycle ownership also grew.

The short World Bank-produced video below gives another look at the successful project:

Informality and Disaster Vulnerability

Ashna Mathema's picture

Unlike the more developed nations where catastrophes typically happen when a major disaster strikes, in the developing countries, even small disasters result in disproportionate loss of life and property. Apart from the increased frequency of these events resulting from climate change, there is also an escalated risk associated with an urbanizing world: urban areas in developing country cities are commonly characterized by high population densities, old and deteriorated infrastructure, poor environmental conditions, concentrated poverty in informal settlements and slums, unplanned and often unregulated growth,  and inadequately prepared local institutions, which makes them especially vulnerable. (Photo by Lecercle)

A commonly cited problem attributed to much disaster-related damage in developing countries is the use of inappropriate building codes, poor zoning by-laws, and more generally, the lack of enforceability of the same. This is particularly the case for earthquakes, because unlike other types of natural disasters, casualties and fatalities from earthquakes are associated almost entirely with collapse or failure of manmade structures. The saying “earthquakes don’t kill people, buildings do” is as true today as it was when it was first coined.

Hence, the importance of these regulations—and more importantly, their enforceability—cannot be over-stated. But what of those households for whom these regulations do not apply?

2 weeks to Go!

Aaron Leonard's picture

Dear readers,

Proposals for the 2009 Global Development Marketplace are due in 2 weeks! There is still plenty of time to apply. We hope you take advantage and submit your idea today. The competition, funded by the GEF and other DM partners, aims to dentify 20 to 25 innovative, early-stage projects addressing climate adaptation. Winning projects receive up to US$200,000 in grant funding for implementation over two years.

The competition focuses on three sub-themes: 
  1) Resilience of Indigenous Peoples' Communities to Climate Risks
  2) Climate Risk Management with Multiple Benefits
  3) Climate Adaptation and Disaster Risk Management

For more information and to apply, visit our website at www.developmentmarketplace.org. The application deadline is May 18, 2009.

www.developmentmarketplace.org

Bangkok's Skytrain an example of the good infrastructure and services Thailand needs

Pichaya Fitts's picture

It takes me just a few minutes to get to my office roughly two kilometers away. Before the Skytrain came along, the very same journey could take anywhere between 15-45 minutes.
At 2:30 p.m. on a weekday, the Skytrain in Bangkok, Thailand, was still pretty crowded. I squeezed myself into a small space near the doors, waiting to exit at the next stop. Suddenly, a cheery sound of music wafted through the air before a woman, standing not far from me, shouted a "Hello" into her tiny cellular phone.

"I'm on the train, two stops away from you," she told the caller. "Will get there in a heartbeat."

That got me thinking. Getting somewhere in a heartbeat was – at least until 1999 – a luxury no Bangkokian could afford (unless they owned a private helicopter). I remembered when this city's traffic jams topped the list of things that would come to mind when people thought of Bangkok. (The next down in that list would probably be air pollution, but that's a subject for a later discussion!).

Facing traffic and pollution, Philippines city invests in bicycles

Chris Pablo's picture

During the Martial Law years in the Philippines (1970s to early 1980s), there was a story widely shared (discreetly) about a popular TV variety show host who was made to ride the bicycle all day in a military camp. According to accounts, he apparently displeased the rulers at the time for making a quip about the government's running slogan that goes, "sa ika-uunlad ng bayan, disiplina ang kailangan."Loosely translated, it means, "for the country to progress, discipline is what is needed."

What the TV host jokingly proclaimed was – "sa ika-uunlad ng bayan, bisikleta ang kailangan" ("what the country needs for progress is the bicycle"). True or not, the story fascinates me to this day. First, because some people just can't take a good joke. More importantly, because I thought the TV host must be a real visionary! He may have foreseen the traffic and pollution conditions some 15 years in the future and the need for cheaper alternatives for mobility.


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