Urban entrepreneurs can help tackle the challenges of rapid urbanization by developing innovative solutions, according to a report from the United Nations Conference on Trade and Development (UNCTAD). The report, entitled “Urban expansion, an entrepreneur’s playground”, was published to mark World Cities Day at the end of October.
“Entrepreneurs are stepping in to help cities meet the needs of their rising populations,” explained Arlette Verploegh of UNCTAD in a statement. “As game changers and innovators with strong roots in their cities (…) these urbanpreneurs are in a good position to offer solutions.”
The report highlights the contribution of micro, small and medium-sized enterprises (MSMEs) in boosting innovation and creating jobs, especially in developing countries. It gives the example of urban farming in Johannesburg, South Africa, where urbanpreneurs are transforming rooftops into farms and hiring locals to produce food sourced from the city.
Urbanpreneurs can also take advantage of greater internet connectivity and digital resources that cities can offer, according to UNCTAD. In Sao Paulo, Brazil, for example, a local fintech start-up is improving financial literacy in a slum, while in Monterrey, Mexico, a government-backed collaborative venture – the Tecnológico de Monterrey System – is working towards a digital future with a networked business ecosystem that prioritizes innovation.
“Modern cities embrace collaboration as a fundamental principle for growth,” writes the report, calling on policymakers to attract urbanpreneurs as partners in addressing urban challenges. It goes on to underscore the need to create a “collaborative, multistakeholder ecosystem in which new technologies are harnessed”.
