Regional : Establishing the Future Cities Program in the Asia and Pacific Region

Multisector / ADB's corporate management, policy and strategy development

The objective of the TA is to enhance operational knowledge and long-term sector engagement, areas identified under the mid-term review of ADB's Strategy 2020 (MTR), for the implementation of ADB strategic priorities in the urban sector. It will facilitate ADB's long term engagement with selected cities across Asia and the Pacific, providing integrated planning and support, and assisting them to better manage rapid urban growth to becoming more livable. The TA will harmonize current ADB investments and assistance and facilitate the convergence of other cross-sector TAs to support a _One ADB_ approach to integrated urban development in partnership with each selected city and government. Centers of Excellence will be engaged to provide best practice knowledge which will help to guide development of relevant investment programs that will be linked with ADB operations and private sector partners.

The TA is aligned with Strategy 2020, which promotes environmentally sustainable development, particularly facilitating livable cities; and with the MTR which emphasizes that ADBs actions need to be innovative, inclusive, integrated and operationally relevant. The TA will develop knowledge solutions that are consistent with ADBs Urban Operational Plan (UOP, 2012-2020) by promoting livable cities that are competitive, socially inclusive and environmentally sustainable, upon a sound fiscal base.

The TA will engage long-term with selected cities, supporting integrated planning activities and addressing the urban challenge by bridging quality urban research and practice with operationally-focused funding and projects. Acting as an umbrella and convergence for other urban and cross-sectoral initiatives, it will embody the concept of _One ADB_. The TA has been developed in cooperation with and the support of each of the Regional Departments, and particularly their urban development operations divisions. The selected cities each have provided their concurrence with the proposed partnership.

Working closely with the selected cities, the TA will draw upon existing regional and country studies and lessons and practices from other leading urban sector institutions. International Centers of Excellence (CoE) will be mobilized to engage with cities and catalyze municipal stakeholders, contributing valuable and action-focused research and support; and, helping to bridge the gap between knowledge, funding and practice. The TA will harmonize initiatives from a number of current and planned regional TAs, encouraging cross sectoral practice and identifying public-private partnerships or opportunities to leverage project funds from ADBs Urban Climate Change Resilience Trust Fund (UCCRTF), the Cities Development Initiative for Asia (CDIA) and other donors to prepare feasibility and investments projects.

In the last two decades (1990-2010) Asia and the Pacific's urban population has risen by 29%, faster than any other region. Between 2010 and 2050, Asia's cities are expected to rise from 40% to about 65% of its total population, which itself is expected to almost double from 1.9 billion to 3.3 billion people. While this presents opportunities for higher productivity and better living standards, there are several risks. About 523 million vulnerable people across the region are estimated to live in urban slums, with poor services and squalor. Severe living condition disparities in many Asian and Pacific cities affect social cohesion. Urban buildings and transport account for significant energy consumption and carbon emissions. Integrated and effective urban planning is needed, focusing on managing urban sprawl and providing sustainable and affordable infrastructure and basic services.

The Asia Pacific region is fast becoming a major driver of greenhouse gas emissions worldwide, and at the same time is increasingly exposed to the risks of climate-related hazards, such as floods and storm surges. In many urban areas, vulnerability is often increased because of informal settlements, lack of adequate infrastructure and limited institutional capacity. High levels of vulnerability require adaptation strategies that focus on resilience to acute as well as chronic climate impacts. The regions cities must develop strategic approaches to climate resilient urban infrastructure investment.

With approximately 75% of Asia's gross domestic product (GDP) currently generated in urban areas, the quality and efficiency of Asian cities will determine the region's long-term productivity and overall stability. Asian cities are integrated into trade corridors through which they are connected into global economic networks as much as they are to their own economy. They are magnets for people seeking a better quality of life and economic opportunities and a locus of regional cooperation. Conversely, inefficient and uncompetitive cities are a drag on economic growth and an impediment to inclusive development. Asian municipal infrastructure financing is at only 40% of its $100 billion annual maintenance requirement.

Stemming the decline or failure of Asian and Pacific cities, while facilitating their rapid growth, is essential to the region. The UN Sustainable Development Goal 11 is clear - _make cities and human settlements inclusive, safe, resilient and sustainable._ ADBs Urban Operational Plan also supports such a goal through an integrated urban investment approach across the region, emphasizing a geographic focus, engagement with a wider range of public and private partners and using ADB's resources to leverage a broader range and increased quantum of funds.

ADB's MTR clearly states that it also will address the urban development challenge, particularly rapid urbanization, significant infrastructure constraints, weak governance, institutional capacity and financial instability. It encourages initiatives that look cross-sectorally and support clean energy, sustainable transport, climate adaptation and strengthened disaster risk management; and apply better integrated planning, governance and finance models to help sustain urban basic services. The MTR emphasizes long-term engagement and technical expertise in order to optimize sector resources; and to advance understanding of sector-specific challenges in order to find holistic and sustainable solutions. There is a need to mobilize interdepartmental and interdisciplinary teams to provide timely and effective multi-sector solutions to client DMCs under the _One ADB_ approach.

Integrated urban assessments are prepared

Cities are engaged in understanding, identifying, and sharing best practice pathways towards future livable cities

Integrated projects are conceptualized with concrete funding modalities.

Urban best practice and learning is prepared, disseminated, and utilized for future cities.

1. Integrated urban assessments urban assessment reports prepared by COEs completed in 5 cities; inventory of existing projects prepared for 5 cities

2. COEs in MYA, INO and MON completed their services and ongoing for FIJ and GEO; 6 workshops held (1 inception workshop, 1 consultation-planning workshop, 4 workshops on Source System) 3 cross-sector TA supporting 5 cities; 2 cities on twinning)

3. Knowledge partnership with ETH Singapore and CRCWSC. RISE TA concept paper has been approved.

4. Engaging with Cities of the Future KP has been produced.