Infrastructure And Urbanisation

The infrastructure and urbanisation programme looks at how large-scale investments in physical capital drive growth. IGC partner countries have signalled a keen interest in work relating to transport, communication and power networks.

Agglomeration economies are particularly important in explaining the spatial distribution of production and living. Urban areas tend to have the highest per-worker productivity and generate most of the economic output. While some of this concentration is explained by the presence of natural advantages, this alone cannot account for the observed degree of agglomeration and better grasp of this phenomena is needed.