The world is an unequal place by any measure. Economic inequality could be considered the root of all other inequalities, especially in India. While there are various reports on the extent of such economic inequality, it is pertinent to note that the phenomenon prevails all over the world, in fact more starkly on a global level than in India. Therefore one could say that India is a less unequal society on the economic front than the world as a whole. One report quoted in a business periodical for example, said that in 2021, the top 10 percent of the population in India owned 64.6 per cent of the nation’s wealth (global figure 76 per cent). The bottom 50 per cent of the population in India owned 5.9 per cent of nation’s wealth (global figure 2 per cent). Such concentration of wealth in the hands of a few has been growing over the years.
Several have argued that such disparities and inequality are more stark in our cities. This needs to be studied in greater detail. Yes, in our metropolises, one can sometimes see ostentatious display of wealth. When contrasted with slums in the vicinity, one sees stark inequalities. One aspect of this inequality in our cities is in relation to housing. In our larger cities this problem is more acute due to steep prices of real estate. One sees huge skyscrapers of luxury apartments in a locality with slums just across the street. But many of the less fortunate city dwellers are possibly living better lives than they would back in their villages. Efficient, affordable public transit, for example; as is available in the suburban train systems in Mumbai or Chennai. Another is better education facilities, even in public schools including the ones run by our local bodies. Healthcare for the common man is also way better in cities. And of course the wide range of livelihood options. These are what one migrates to cities for, in the first place.
Therefore one may say that while inequalities exist in society, cities have the potential to significantly bridge these inequalities, and they do. As regards housing, the government’s ambitious PM AWAS Yojana (Urban) will bring about much improvement in the urban landscape. Equally importantly, the Affordable Rental Housing Complexes (ARHCs) initiative will bring about transformation in the housing scene in cities. Rental housing for urban migrants/poor has several advantages other than obvious relief from large upfront payments. Migrants can choose residential locations based on their livelihood/job locations; and even change when a new job opportunity comes up at a different location. Similarly also with education options for their children. Such rental accommodation will also have better service provision like water and sanitation thereby improving health and overall living conditions of the urban migrants. We believe that the inherent advantages that cities offer given their potential to bridge inequalities in societies, combined with policy interventions such as in housing can give rise to more fair, just and equitable societies in India and thereby the achievement of the Sustainable Development Goals. This issue of Urban Update looks at urban inequalities and possible solutions.
I take this opportunity to wish all our readers and their families the very best during this festive season.
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