$100 million to be spent on big cities in Punjab

The Punjab Large Cities Development Project will be launched in Faisalabad, Lahore, Rawalpindi, Multan and Gujranwala, which will be completed with the financial assistance of $100 million of International Bank for Reconstruction and Development (IBRD) under a phase-wise programme.
Pakistan is currently rated as one of the most urbanised country in South Asia with one-third population out of total population of 160 million lives in urban areas.
According to official sources, the Punjab Large Cities Development Policy Loan is designed to promote economic growth and improve infrastructure service delivery in the major cities of Punjab. The project will assist cities in developing strategic investment plans and improved service delivery in solid waste, urban transport, and strengthening local finances that support infrastructure investment and service delivery.
According to an update project study report, Punjab is Pakistan's most urbanised province, with roughly 36 percent of its population living in urban areas. While its capital, Lahore, is home to about 7 million people, the Punjab also has four other cities with populations in excess of one million, namely Faisalabad, Rawalpindi, Multan and Gujranwala. Not surprisingly, the population density of the Punjab is more than 31/2 times the rest of Pakistan.
According to data from the Development Data Platform (a World Bank Database), Pakistan's largely urban-based manufacturing and services sectors accounted for 77 percent of GDP in 2003, while contributing to over 90 percent of GDP growth between 1999-2003.
Given its above average national urban structure and still rapidly urbanising process, the Punjab is perhaps uniquely poised to place its cities at the center of its economic development and poverty alleviation strategies. However, cities in the Punjab face many challenges, including a projected doubling of the population by 2021 if current growth rates hold.
The proposed DPL's objectives are consistent with the Draft CAS for FY'06-09, which notes that while the urban sector was an area of limited engagement during the previous CAS, devolution has created opportunities for deeper engagement and the Government of Pakistan has accorded greater priority to urban development with a particular focus on the "mega-cities".
Official sources stated that the Punjab Large Cities DPL has benefited from ongoing analytic work on local government issues in the Punjab, ranging from municipal finance to land and housing, as well as solid waste management and water supply.
The DPL will also complement the Punjab Municipal Services Improvement Project (PMSIP), which deals with capacity building and the provision of services in the small municipalities of the Punjab.