5 Threats To India's Urban Dreams

High-voltage economic success comes at a cost, often so dear that it starts undermines the good that comes along with it. In their pursuit to achieve economic success, emerging economies encounter growing pains.  

Sample this.

According to the World Bank, the East Asia and Pacific region accounts for nearly two-fifths of global economic growth, “making it a key driver of growth in the world economy”. However, about 90 million people in the region live in extreme poverty. “Another 300 million are vulnerable to falling back into poverty as a result of climate change, natural disasters, disease, and economic shocks,” says the multilateral bank.

The story of India, counted among the fastest-growing economies in the world, is no different. While the government has been announcing ambitious infrastructure programmes to keep pace with rapid urbanisation -- estimates show that 40 per cent of India's population will live in cities by 2025 ---- the country is often seen falling a victim of its own success.

Here are five facts that pose a threat to India's urban dreams:

The dirty picture

According to the World Bank, of the country's 500-million population, 69 million will be living in slums by 2017. This number might grow substantially in future if the issue does not have the government's undivided attention. "The country is in the midst of a massive wave of urbanisation as some 10 million people move to towns and cities each year in search of jobs and opportunity. It is the largest rural-urban migration of this century," says the bank. Meeting the housing needs of this growing urban population is a challenge of epic proportions.

Also read: These Foreign Cities Turned Wastelands Into Urban Landscapes

The poverty trap

More than 400 million of India's people are poor. This number accounts for one-third of the world's poor. According to a sharp growth in population, the absolute number of poor in some of India's poorest states increased during the last decade. Many of those who have recently escaped poverty are still highly vulnerable to falling back into it, the World Bank predicts.

The equality myth

When it comes to per capita income, the world's fourth-largest economy presents a gloomy picture — India's average annual per capita income stood at $1,410 in 2011, this was among the poorest of the world's middle-income countries. A state-wise comparison shows there is a great disparity within the country. Contrary to the national average, per capita annual income stood at $436 in Uttar Pradesh and $294 in Bihar.

A lot to catch up

Indian villages have a lot of catching up to do when it comes to infrastructure development. According to World Bank, one in three people in India's villages lack access to an all-weather road. On the other hand, only one in five national highways is four-lane. The country's ports and airports have “inadequate capacity” while trains “move very slowly”. “An estimated 300 million people are not connected to the national electrical grid, and those who are face frequent disruptions,” says the World Bank.

Also read: Is Real Estate Helping Build Urban Infrastructure?

The wide skill gap

The Centre Skill India programme will have to be implemented on a large scale to bridge the skill gap the country is staring at. “Less than 10 per cent of the working-age population has completed a secondary education, and too many secondary graduates do not have the knowledge and skill to compete in today's changing job market,” says the World Bank.