Features
Urbanization In The Low-And-Middle-Income Countries:
A Condensed Version of the Inter-Academy Partnership’s Policy Statement
by Dr. Locana Gunaratna
Background
The InterAcademy Partnership (IAP) based in Trieste (Italy), is the apex body of a global network of science academies that work together to provide independent expert advice. Early in 2020, the IAP invited all their affiliated Academies to submit proposals for preparing policy statements on subjects considered globally important and require urgent scientific attention. The National Academy of Sciences Sri Lanka responded with a proposal drafted by the author, to prepare a policy statement on ‘Urbanization in the LMICs’ (Low and Middle Income Countries).
The subject, being considered critically important for progress in the LMICs, the proposal was accepted. The author was then required to prepare the ‘Zero Draft’ of the policy statement. The IAP thereafter invited nomination of experts in the subject from all affiliated Academies. A careful selection was made from among the nominees based on geography and gender, to form a Statement Working Group (SWG) which the author was required to chair and work electronically with them. Its 18 experts were drawn from 16 countries located on five continents. They were mostly from LMICs in Latin America, Africa and Asia but also included a few subject experts from the US and Europe.
Much keen collaborative work was done electronically over a long two-year period. The intention was to broaden the scope of the Zero Draft ensuring relevance to LMICs in Asia, Africa and Latin America. The finalized Statement was circulated to all affiliated Academies worldwide. It received endorsement by the majority to become the IAP’s Policy on the subject. The policy statement was formally launched on-line from Europe at an international event on October 5, 2022. The author was invited to present and did present a condensed version of the policy statement at that event. The IAP will now proceed to promote the policy among regional and international Development Agencies and also national governments.
Introduction
Urban development in low-and-middle-income countries (LMICs) has been a subject of serious recent discussion at the international level. In 2015, UN Member States adopted 17 Sustainable Development Goals (SDGs) among which SDG11 was about the sustainability of cities. In 2016, a ‘New Urban Agenda’ was endorsed by the UN General Assembly. These events bind all countries to promote those recommendations.
Today, urbanization occurs almost exclusively in the LMICs. The task of framing relevant policies for urbanization in the LMICs requires a clear understanding of the process currently being experienced. The study makes it clear that the economic conditions that spurred urbanization in the Western World, mostly during the 19th Century are not the same as those causing urbanization in most LMICs today. Urbanization can bring about positive dividends especially for women and longer lifespans for all, but these dividends are by no means guaranteed. When the process is mismanaged as often happens, it results in serious inequity, social unrest and the rapid growth of informal settlements. Thus, urbanization policies, urban planning and management are deemed to be very necessary. A reliable prediction is that by 2035 all the fastest growing cities worldwide will be in the LMICs.
The Urbanization Process in LMICs
A relevant statistical study concludes that urbanization in the LMICs: induces growth of the largest cities; occurs often without industrialization; is consequent to demographic explosion and poverty-induced rural-urban migration; encourages the growth of informal settlements (i.e.‘slums’); and, occurs more because of ‘rural push’ than ‘urban pull’.
This interminable ‘distress migration’ directed mostly towards major cities results in diminishing the quality of life for all urban residents in those cities. Today, urban population increases happen in overcrowded and under-served informal settlements. These urban residents are part of an ‘informal city’, which generally functions independently from and in parallel with the formal city.
Cities in many LMICs, have some surprisingly common characteristics, which are: unequal access to all infrastructure, services and to decent housing; strong residential segregation; the existence of informal and often illegal systems of land occupation for housing; inadequate land-use management; the inability of most urban local authorities to deal with all these complex issues; unsatisfactory housing units with very poor sanitary facilities; authoritarian political processes and inadequate social participation in planning decisions; large primate cities; and, limited autonomy and resources within urban local authorities and also poor vertical coordination on relevant national urban policies if such exist.
Planning Approaches and Theories
The application of exogenous (Western) development models is discouraged by knowledgeable planners and scholars in almost all LMICs. An important recent study on the current trend of horizontal urban expansion through urbanization, predicts the tripling of urban land cover worldwide within the next three decades and the consequent adverse impact upon biodiversity. It also states that the main biodiversity ‘hotspots’ being affected are in the LMICs. Furthermore, the evidence is that more compact cities are correlated with lower greenhouse gas emissions and higher productivity. Intervention at the national policy level is invariably needed.
A recent observation by the IAP is that: “the potential for science to ameliorate or solve the problems of the world’s multiplying cities has not been realized”. A review of spatial planning literature from the LMICs reveals much scholarship that could influence urban policy intervention. Clearly, science and technology can and should inform decision-making.
Another very important focus is on the role of small and mid-sized towns in the development of LMICs. A well-known British researcher after exhaustive studies concludes that: colonial policies, reinforced by post-colonial economic growth strategies of the 1950s and 1960s, were major causes of the rapid growth of some cities in many LMICs;
urban development was generally prioritized over rural development;
emphasis was on modernizing the metropolitan economy while rural regions were often neglected and left impoverished.
More than 100 reviews of empirical studies across the LMICs and a large number of national programmes for small and mid-sized towns, demonstrate that spatial planning programmes can be crucial in:
attaining social and economic objectives;
increasing and diversifying agricultural production; and,
increasing the influence of citizens living in sub-national and sub-regional political and administrative units.
Policy Concerns
A UN publication focused on Asia (1979) states that: urban-rural inequality is a major problem; and that more attention should be paid to rural development. These inequalities are also found in most LMICs in other continents;
Even where small towns with some infrastructure facilities exist, inadequate urban governance and poor management prevent the much needed extension of those services to their rural hinterlands; and that:
Investments should be made in infrastructure for mid-sized cities to improve mobility by public transport and for accessibility to services.
Vulnerable human habitats due to the adversities of climate change include:
low-lying coastal towns and conurbations exposed to sea level rise;
landslide-prone areas in hilly terrains; and,
low-lying urban areas that are exposed to frequent floods and also heat waves.
In these adversities, the resettlement of vulnerable populations in safer locations may be the best option.
Investments necessary for tackling the challenges in cities in many LMICs requires not only their local governments but also the engagement of their national governments through carefully prepared national urban policies. Even assuming a committed approach to rural development, out-migration from rural areas for non-farm occupations is likely to continue. Rather than have these rural migrants target the larger cities, the more manageable scenario is a gradual process whereby rural migrants move first to the mid-sized towns. Then, movement to large cities may be confined to the more urbanized migrants from mid-sized towns.
Public health should also be of special concern in Urban Planning. The need is to counter the easy spread of epidemics in dense human settlements accentuated by urbanization. If not, low-income urban dwellers will consequently face the twin burden of communicable and non-communicable diseases. Also, there should be space for social participation and democratic governance on decisions to be made by urban local authorities.
Finally, Urban Planning under all these initiatives must also be guided by the UN’s New Urban Agenda and also the Sustainable Development Goal #11.
The writer, K.Locana Gunaratna holds
AA Dipl (London), MCP (Harvard), PhD (Colombo);
Fellow & Past President, National Academy of Sciences Sri Lanka;
Past General President. Sri Lanka Association for the Advancement of Science;
Fellow & Past President, Institute of Town Planners Sri Lanka;
Fellow & Past President, Sri Lanka Institute of Architects;
Vice President, Sri Lanka Economic Association.
by Dr Gotabhya Ranasinghe
Senior Consultant Cardiologist
National Hospital Sri Lanka
When we sought a meeting with Hon Dr. Ramesh Pathirana, Minister of Health, he graciously cleared his busy schedule to accommodate us. Renowned for his attentive listening and deep understanding, Minister Pathirana is dedicated to advancing the health sector. His openness and transparency exemplify the qualities of an exemplary politician and minister.
Dr. Palitha Mahipala, the current Health Secretary, demonstrates both commendable enthusiasm and unwavering support. This combination of attributes makes him a highly compatible colleague for the esteemed Minister of Health.
Our discussion centered on a project that has been in the works for the past 30 years, one that no other minister had managed to advance.
Minister Pathirana, however, recognized the project’s significance and its potential to revolutionize care for heart patients.
The project involves the construction of a state-of-the-art facility at the premises of the National Hospital Colombo. The project’s location within the premises of the National Hospital underscores its importance and relevance to the healthcare infrastructure of the nation.
This facility will include a cardiology building and a tertiary care center, equipped with the latest technology to handle and treat all types of heart-related conditions and surgeries.
Securing funding was a major milestone for this initiative. Minister Pathirana successfully obtained approval for a $40 billion loan from the Asian Development Bank. With the funding in place, the foundation stone is scheduled to be laid in September this year, and construction will begin in January 2025.
This project guarantees a consistent and uninterrupted supply of stents and related medications for heart patients. As a result, patients will have timely access to essential medical supplies during their treatment and recovery. By securing these critical resources, the project aims to enhance patient outcomes, minimize treatment delays, and maintain the highest standards of cardiac care.
Upon its fruition, this monumental building will serve as a beacon of hope and healing, symbolizing the unwavering dedication to improving patient outcomes and fostering a healthier society.We anticipate a future marked by significant progress and positive outcomes in Sri Lanka’s cardiovascular treatment landscape within the foreseeable timeframe.
by Fr. Emmanuel Fernando, OMI
Jesuit Fr. Aloysius Pieris (affectionately called Fr. Aloy) celebrated his 90th birthday on April 9, 2024 and I, as the editor of our Oblate Journal, THE MISSIONARY OBLATE had gone to press by that time. Immediately I decided to publish an article, appreciating the untiring selfless services he continues to offer for inter-Faith dialogue, the renewal of the Catholic Church, his concern for the poor and the suffering Sri Lankan masses and to me, the present writer.
It was in 1988, when I was appointed Director of the Oblate Scholastics at Ampitiya by the then Oblate Provincial Fr. Anselm Silva, that I came to know Fr. Aloy more closely. Knowing well his expertise in matters spiritual, theological, Indological and pastoral, and with the collaborative spirit of my companion-formators, our Oblate Scholastics were sent to Tulana, the Research and Encounter Centre, Kelaniya, of which he is the Founder-Director, for ‘exposure-programmes’ on matters spiritual, biblical, theological and pastoral. Some of these dimensions according to my view and that of my companion-formators, were not available at the National Seminary, Ampitiya.
Ever since that time, our Oblate formators/ accompaniers at the Oblate Scholasticate, Ampitiya , have continued to send our Oblate Scholastics to Tulana Centre for deepening their insights and convictions regarding matters needed to serve the people in today’s context. Fr. Aloy also had tried very enthusiastically with the Oblate team headed by Frs. Oswald Firth and Clement Waidyasekara to begin a Theologate, directed by the Religious Congregations in Sri Lanka, for the contextual formation/ accompaniment of their members. It should very well be a desired goal of the Leaders / Provincials of the Religious Congregations.
Besides being a formator/accompanier at the Oblate Scholasticate, I was entrusted also with the task of editing and publishing our Oblate journal, ‘The Missionary Oblate’. To maintain the quality of the journal I continue to depend on Fr. Aloy for his thought-provoking and stimulating articles on Biblical Spirituality, Biblical Theology and Ecclesiology. I am very grateful to him for his generous assistance. Of late, his writings on renewal of the Church, initiated by Pope St. John XX111 and continued by Pope Francis through the Synodal path, published in our Oblate journal, enable our readers to focus their attention also on the needed renewal in the Catholic Church in Sri Lanka. Fr. Aloy appreciated very much the Synodal path adopted by the Jesuit Pope Francis for the renewal of the Church, rooted very much on prayerful discernment. In my Religious and presbyteral life, Fr.Aloy continues to be my spiritual animator / guide and ongoing formator / acccompanier.
Fr. Aloysius Pieris, BA Hons (Lond), LPh (SHC, India), STL (PFT, Naples), PhD (SLU/VC), ThD (Tilburg), D.Ltt (KU), has been one of the eminent Asian theologians well recognized internationally and one who has lectured and held visiting chairs in many universities both in the West and in the East. Many members of Religious Congregations from Asian countries have benefited from his lectures and guidance in the East Asian Pastoral Institute (EAPI) in Manila, Philippines. He had been a Theologian consulted by the Federation of Asian Bishops’ Conferences for many years. During his professorship at the Gregorian University in Rome, he was called to be a member of a special group of advisers on other religions consulted by Pope Paul VI.
Fr. Aloy is the author of more than 30 books and well over 500 Research Papers. Some of his books and articles have been translated and published in several countries. Among those books, one can find the following: 1) The Genesis of an Asian Theology of Liberation (An Autobiographical Excursus on the Art of Theologising in Asia, 2) An Asian Theology of Liberation, 3) Providential Timeliness of Vatican 11 (a long-overdue halt to a scandalous millennium, 4) Give Vatican 11 a chance, 5) Leadership in the Church, 6) Relishing our faith in working for justice (Themes for study and discussion), 7) A Message meant mainly, not exclusively for Jesuits (Background information necessary for helping Francis renew the Church), 8) Lent in Lanka (Reflections and Resolutions, 9) Love meets wisdom (A Christian Experience of Buddhism, 10) Fire and Water 11) God’s Reign for God’s poor, 12) Our Unhiddden Agenda (How we Jesuits work, pray and form our men). He is also the Editor of two journals, Vagdevi, Journal of Religious Reflection and Dialogue, New Series.
Fr. Aloy has a BA in Pali and Sanskrit from the University of London and a Ph.D in Buddhist Philosophy from the University of Sri Lankan, Vidyodaya Campus. On Nov. 23, 2019, he was awarded the prestigious honorary Doctorate of Literature (D.Litt) by the Chancellor of the University of Kelaniya, the Most Venerable Welamitiyawe Dharmakirthi Sri Kusala Dhamma Thera.
Fr. Aloy continues to be a promoter of Gospel values and virtues. Justice as a constitutive dimension of love and social concern for the downtrodden masses are very much noted in his life and work. He had very much appreciated the commitment of the late Fr. Joseph (Joe) Fernando, the National Director of the Social and Economic Centre (SEDEC) for the poor.
In Sri Lanka, a few religious Congregations – the Good Shepherd Sisters, the Christian Brothers, the Marist Brothers and the Oblates – have invited him to animate their members especially during their Provincial Congresses, Chapters and International Conferences. The mainline Christian Churches also have sought his advice and followed his seminars. I, for one, regret very much, that the Sri Lankan authorities of the Catholic Church –today’s Hierarchy—- have not sought Fr.
Aloy’s expertise for the renewal of the Catholic Church in Sri Lanka and thus have not benefited from the immense store of wisdom and insight that he can offer to our local Church while the Sri Lankan bishops who governed the Catholic church in the immediate aftermath of the Second Vatican Council (Edmund Fernando OMI, Anthony de Saram, Leo Nanayakkara OSB, Frank Marcus Fernando, Paul Perera,) visited him and consulted him on many matters. Among the Tamil Bishops, Bishop Rayappu Joseph was keeping close contact with him and Bishop J. Deogupillai hosted him and his team visiting him after the horrible Black July massacre of Tamils.
Sri Lanka-Singapore Free Trade Agreement
By Gomi Senadhira
senadhiragomi@gmail.com
“You might tell fairy tales, but the progress of a country cannot be achieved through such narratives. A country cannot be developed by making false promises. The country moved backward because of the electoral promises made by political parties throughout time. We have witnessed that the ultimate result of this is the country becoming bankrupt. Unfortunately, many segments of the population have not come to realize this yet.” – President Ranil Wickremesinghe, 2024 Budget speech
Any Sri Lankan would agree with the above words of President Wickremesinghe on the false promises our politicians and officials make and the fairy tales they narrate which bankrupted this country. So, to understand this, let’s look at one such fairy tale with lots of false promises; Ranil Wickremesinghe’s greatest achievement in the area of international trade and investment promotion during the Yahapalana period, Sri Lanka-Singapore Free Trade Agreement (SLSFTA).
It is appropriate and timely to do it now as Finance Minister Wickremesinghe has just presented to parliament a bill on the National Policy on Economic Transformation which includes the establishment of an Office for International Trade and the Sri Lanka Institute of Economics and International Trade.
Was SLSFTA a “Cleverly negotiated Free Trade Agreement” as stated by the (former) Minister of Development Strategies and International Trade Malik Samarawickrama during the Parliamentary Debate on the SLSFTA in July 2018, or a colossal blunder covered up with lies, false promises, and fairy tales? After SLSFTA was signed there were a number of fairy tales published on this agreement by the Ministry of Development Strategies and International, Institute of Policy Studies, and others.
However, for this article, I would like to limit my comments to the speech by Minister Samarawickrama during the Parliamentary Debate, and the two most important areas in the agreement which were covered up with lies, fairy tales, and false promises, namely: revenue loss for Sri Lanka and Investment from Singapore. On the other important area, “Waste products dumping” I do not want to comment here as I have written extensively on the issue.
1. The revenue loss
During the Parliamentary Debate in July 2018, Minister Samarawickrama stated “…. let me reiterate that this FTA with Singapore has been very cleverly negotiated by us…. The liberalisation programme under this FTA has been carefully designed to have the least impact on domestic industry and revenue collection. We have included all revenue sensitive items in the negative list of items which will not be subject to removal of tariff. Therefore, 97.8% revenue from Customs duty is protected. Our tariff liberalisation will take place over a period of 12-15 years! In fact, the revenue earned through tariffs on goods imported from Singapore last year was Rs. 35 billion.
The revenue loss for over the next 15 years due to the FTA is only Rs. 733 million– which when annualised, on average, is just Rs. 51 million. That is just 0.14% per year! So anyone who claims the Singapore FTA causes revenue loss to the Government cannot do basic arithmetic! Mr. Speaker, in conclusion, I call on my fellow members of this House – don’t mislead the public with baseless criticism that is not grounded in facts. Don’t look at petty politics and use these issues for your own political survival.”
I was surprised to read the minister’s speech because an article published in January 2018 in “The Straits Times“, based on information released by the Singaporean Negotiators stated, “…. With the FTA, tariff savings for Singapore exports are estimated to hit $10 million annually“.
As the annual tariff savings (that is the revenue loss for Sri Lanka) calculated by the Singaporean Negotiators, Singaporean $ 10 million (Sri Lankan rupees 1,200 million in 2018) was way above the rupees’ 733 million revenue loss for 15 years estimated by the Sri Lankan negotiators, it was clear to any observer that one of the parties to the agreement had not done the basic arithmetic!
Six years later, according to a report published by “The Morning” newspaper, speaking at the Committee on Public Finance (COPF) on 7th May 2024, Mr Samarawickrama’s chief trade negotiator K.J. Weerasinghehad had admitted “…. that forecasted revenue loss for the Government of Sri Lanka through the Singapore FTA is Rs. 450 million in 2023 and Rs. 1.3 billion in 2024.”
If these numbers are correct, as tariff liberalisation under the SLSFTA has just started, we will pass Rs 2 billion very soon. Then, the question is how Sri Lanka’s trade negotiators made such a colossal blunder. Didn’t they do their basic arithmetic? If they didn’t know how to do basic arithmetic they should have at least done their basic readings. For example, the headline of the article published in The Straits Times in January 2018 was “Singapore, Sri Lanka sign FTA, annual savings of $10m expected”.
Anyway, as Sri Lanka’s chief negotiator reiterated at the COPF meeting that “…. since 99% of the tariffs in Singapore have zero rates of duty, Sri Lanka has agreed on 80% tariff liberalisation over a period of 15 years while expecting Singapore investments to address the imbalance in trade,” let’s turn towards investment.
Investment from Singapore
In July 2018, speaking during the Parliamentary Debate on the FTA this is what Minister Malik Samarawickrama stated on investment from Singapore, “Already, thanks to this FTA, in just the past two-and-a-half months since the agreement came into effect we have received a proposal from Singapore for investment amounting to $ 14.8 billion in an oil refinery for export of petroleum products. In addition, we have proposals for a steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million), sugar refinery ($ 200 million). This adds up to more than $ 16.05 billion in the pipeline on these projects alone.
And all of these projects will create thousands of more jobs for our people. In principle approval has already been granted by the BOI and the investors are awaiting the release of land the environmental approvals to commence the project.
I request the Opposition and those with vested interests to change their narrow-minded thinking and join us to develop our country. We must always look at what is best for the whole community, not just the few who may oppose. We owe it to our people to courageously take decisions that will change their lives for the better.”
According to the media report I quoted earlier, speaking at the Committee on Public Finance (COPF) Chief Negotiator Weerasinghe has admitted that Sri Lanka was not happy with overall Singapore investments that have come in the past few years in return for the trade liberalisation under the Singapore-Sri Lanka Free Trade Agreement. He has added that between 2021 and 2023 the total investment from Singapore had been around $162 million!
What happened to those projects worth $16 billion negotiated, thanks to the SLSFTA, in just the two-and-a-half months after the agreement came into effect and approved by the BOI? I do not know about the steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million) and sugar refinery ($ 200 million).
However, story of the multibillion-dollar investment in the Petroleum Refinery unfolded in a manner that would qualify it as the best fairy tale with false promises presented by our politicians and the officials, prior to 2019 elections.
Though many Sri Lankans got to know, through the media which repeatedly highlighted a plethora of issues surrounding the project and the questionable credentials of the Singaporean investor, the construction work on the Mirrijiwela Oil Refinery along with the cement factory began on the24th of March 2019 with a bang and Minister Ranil Wickremesinghe and his ministers along with the foreign and local dignitaries laid the foundation stones.
That was few months before the 2019 Presidential elections. Inaugurating the construction work Prime Minister Ranil Wickremesinghe said the projects will create thousands of job opportunities in the area and surrounding districts.
The oil refinery, which was to be built over 200 acres of land, with the capacity to refine 200,000 barrels of crude oil per day, was to generate US$7 billion of exports and create 1,500 direct and 3,000 indirect jobs. The construction of the refinery was to be completed in 44 months. Four years later, in August 2023 the Cabinet of Ministers approved the proposal presented by President Ranil Wickremesinghe to cancel the agreement with the investors of the refinery as the project has not been implemented! Can they explain to the country how much money was wasted to produce that fairy tale?
It is obvious that the President, ministers, and officials had made huge blunders and had deliberately misled the public and the parliament on the revenue loss and potential investment from SLSFTA with fairy tales and false promises.
As the president himself said, a country cannot be developed by making false promises or with fairy tales and these false promises and fairy tales had bankrupted the country. “Unfortunately, many segments of the population have not come to realize this yet”.
(The writer, a specialist and an activist on trade and development issues . )
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