Urbanization linked to economic growth is transforming the Asia Pacific region. It brings new opportunities and challenges for sustainable and inclusive development. This strategy paper was commissioned by UNDP to inform the organization’s current and future policy and programming work in Asia Pacific. It argues the case for greater UNDP involvement in urban issues in the region and sets out a framework to guide this involvement.

The Asia Pacific region is rapidly transforming from a predominantly rural to an urban society. Over the next 40 years to 2050, it is estimated the Asia Pacific urban population will increase from around 1.9 to 3.2 billion people. Asia Pacific was 45% urban in 2010; this is projected to increase to 56% urban in 2030 and to 64% urban in 2050.

The growth of cities in the region has been driven by and underpins economic growth. It is estimated cities account for as much as 80% of the region’s economic output. With projected future economic growth, the region could account for more than half of global GDP, trade and investment by 2050.