Urbanization in Bolivia Ryan Platner 4/27/16

Statistics Population 10.8 million Urban population 68.5% of all Bolivians 7.4 million total Growth rates Rural: 0.3% annually Urban: 2.26% annually Human Development Index (119th in the world)

A brief history of urbanization Increasing percentage of Bolivians living in urban areas 1992: 58% 2001: 62% 2015: 68.5% 1/3 of immigrants to cities from 2006 to 2011 were from rural areas

Why do Bolivians move to cities? Degraded land  reduced production Educational opportunities Access to services Allure of city life “Central axis”

Challenges presented by urbanization Informal sector Nearly 80% of Bolivians are employed in the informal sector (<60% average across Latin America) About 70% of Bolivians ineligible for pensions, health care, or social security as a result Cultural impact Gradual loss of indigenous culture and customs Changes in clothing, ceremonies, and health

Challenges presented by urbanization Safety of citizens Steep slopes of La Paz unfit for housing

Challenges presented by urbanization

Government coordination Number of municipalities grew from 24 in 1994 to 339 in 2012 Coordination between various levels of government and between local authorities in the same metropolitan area Requires more technical and financial capacity of local governments for territorial planning and urban management Services to rapidly-growing cities Services worsen as periphery expands Services get worse

Opportunities presented by urbanization Rural population can live better Very low population density (10 people/sq. km) Rough topography and little infrastructure in rural parts

Opportunities presented by urbanization Patriotic Agenda for the Bicentennial 2025 Similar to MDGs Thirteen pillars including poverty reduction and universal provision of basic services

Opportunities presented by urbanization Economic benefits Real income per capita increases especially evident amongst the poorest in urban areas from 2005 to 2011 Concentration of skills and knowledge, innovation, and physical capital In 1997, “the three departments on the Central Axis (La Paz, Cochabamba, and Santa Cruz) collected 83.2 percent of all municipal taxes, leaving only 16.2 percent to the remaining six departments” (Lykke E. Andersen) Better and more land for remaining rural farmers Less degradation of forests

Conclusions and Recommendations Urbanization has probably been a good thing for Bolivia It is expected to continue Recommendations for future rural-urban migration Encourage immigration to cities that are better able to expand (e.g. Santa Cruz instead of La Paz) Give farmers land rights to large plots in rural areas City planning (transportation, schools, sanitation, water, etc.)