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Well-managed urbanization can accelerate
Cote d’Ivoire’s ascendance to middle incomes. Such a large
gap in gross national income (GNI) per capita means that the
underlining economic drivers of urbanization are not being
fully harnessed in Cote d’Ivoire. Small cities at low
urbanization level facilitate internal scale economies, such
as hosting a large firm transforming local agricultural
products. Secondary cities at intermediate urbanization
level facilitate localization economies by enabling linkages
between firms operating in the same sector. Large cities at
advanced urbanization level facilitate urbanization
economies through a diverse economic base nurturing
innovation. Drawing on the findings of the World Development
Report 2009 applied to the Ivorian context, the authors
identify three types of cities in the country: global
connector cities generating urbanization economies needed
for innovation, increasing return to scale activities, and
global competitiveness; regional connector cities generating
localization economies needed for efficient regional trade
and transport; and domestic connector cities generating
internal scale economies needed to unleash the agricultural
potential of regions. Cote d’Ivoire’s small cities and
market towns can be anchors generating scale economies for
agribusiness. While southwest regions strongly contribute to
the production and export of cash crops, savanna areas can
help scale up food and cereal production to supply urban
centers domestically and regionally.
