Unlike many countries that are grappling with an aging population, India has a young population – a demographic dividend that’s a big factor in the future of our country. But India needs thriving cities if that dividend has to pay out. Surging employment and income levels in the cities beyond the metros has to drive the future growth story. It took nearly 40 years (1971 to 2008) for India’s urban population to reach 230 million. It could take only half the time to add the next 250 million. Cities will be central to India’s economic future. We have to take inspiration from world’s fastest growing economy – China. On closer study, we will see that Tier 3 cities are where all the action is in China today — whether its urbanization, new government policies, industrialization, or property development — they are the best kept secrets in the world. Cities in China are typically classified according to location, population, and general economic statistics. Beijing, Shanghai, Guangzhou, Shenzhen, Tianjin and Chongqing are generally classified as Tier 1 cities, while provincial capitals are generally classified as Tier 2. Important cities, like Mianyang, cenxi, Hailin are classified as Tier 3. China currently has well over 100 cities with populations of one million or more.
Pic Courtesy: Financial Express
