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Resilience, a necessity for enhancing economic development in cities

30 May 2024


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A strategic report focused on the main role of the world’s cities in the economic development process, as they attract 55% of the population, expected to rise to 68% by 2050, in addition to their contribution with around 80% of the GDP.

A strategic report, issued by the World Governments Summit, focused on the main role of the world’s cities in the economic development process, as they attract 55 percent of the population, expected to rise to 68 percent by 2050, in addition to their contribution with around 80 percent of the GDP.

The “Time to Thrive: Urban Resilience Shifts from Trend to Necessity” report, prepared in partnership with Strategy& Middle East, PwC, revealed remarkable progress in a number of GCC cities in the evidence-based urban resilience framework that enables cities to assess their exposure to hazards, vulnerabilities, institutional capacities to respond, recover, and transform while dealing with challenges.

The COVID-19 pandemic exposed the urgent need for cities worldwide to become more resilient to face the wide range of threats, both natural and human-caused.

Within the efforts to enhance their future readiness, cities must enhance their resilience to respond, recover, and transform in the face of shocks.

Notable development in the GCC citiesThe report stated that the GCC cities have achieved the most notable increase in their overall resilience since the pandemic.

It highlighted that Abu Dhabi and Dubai reached top ranks among Gulf cities, and are among the top 20 cities worldwide. It further showcased Dubai’s efforts in launching initiatives that prioritise people’s wellbeing, prosperity and stability, including their ambitious plans to develop urban areas, increase green landscape, and diversify the economy.

It pinpointed Doha's enhanced urban resilience through large-scale initiatives and sustainable urban plans that were implemented before the 2022 FIFA World Cup, and the projects developed and implemented by Riyadh to diversify its economy.

The report is based on a comprehensive assessment online framework that enables cities to explore and evaluate their resilience.

The framework is supported by 131 key performance indicators (KPIs) and a detailed qualitative checklist to assess institutional capacities.

The framework was used to assess the urban resilience in 50 cities, 12 of which are in the Middle East and North Africa (MENA) region, including: Abu Dhabi, Dubai, Amman, Kuwait, Muscat, Riyadh, Jeddah, Casablanca, and Cairo. Cities were chosen based on their urbanisation level, population growth, economic contribution, commercial and tourist attractiveness. The other 38 cities include New York, Toronto, London, Paris, Zurich, Seoul, Singapore, Sydney, Tokyo, Cape Town, and São Paulo, providing a comprehensive global viewpoint.

Mohamed Al Sharhan, Managing Director of the World Governments Summit (WGS) Organisation, stressed that resilience is a main pillar in the work methodology of any government or institution that seeks to keep pace with rapid developments, anticipate future challenges, and contribute effectively to shaping the future.“

"Incidents in the past five years, including the “COVID-19” pandemic, demonstrated the significance of resilience and innovation in facing challenges, accelerating recovery, and bringing about transformation. Cities will face greater challenges in the future in various fields, driven by the accelerating pace of development of industries and economies catalysed by the development of AI and the impact of demographic shifts on healthcare, urban planning, and labor markets,” he added.

"To develop resilience, decision makers must understand their city’s exposure to natural and human-caused threats,” said Dima Sayess, partner at Strategy& and the leader of the firm’s Ideation Center in the Middle East. “They must then eliminate any structural vulnerabilities that might intensify the impact of a disaster in terms of basic, social, economic, and urban environment needs, through developing all required institutional capacities,” she added.

Melissa Rizk, Foresight Director at the Ideation Center, further stated, “When you think about resilience, the prevailing narrative is one of stability and permanence. In the world of fast-paced change, innovation and agility are the real determinants of who wins and who loses. Cities that are open to new approaches and solutions will be the next trendsetters.”

Resilient cities have eight main characteristics, including proactive action, future foresight, wisdom to secure and diversify resources including emergency financing, intelligence and adaptability, inclusion and public-private cooperation, providing people’s requirements, developing innovative plans to help cities recover, and adopting a comprehensive approach to provide effective solutions.

The report highlighted that cities can make great strides within years, transforming from weak to resilient cities, and ultimately showing significant resilience.

Cities in the MENA region, such as Riyadh, Muscat and Doha, have made remarkable progress through innovation, investments and enhancing institutional capacities, which in turn represents a clear sign that the region is capable of transforming its cities into global role models.

Meeting basic needs, such as water and food security, housing, and safety, is the basic pillars for a city to become resilient. Therefore, decision-makers can focus on long-term capabilities such as public finances, education, and business, which helps them plan responses to manage crises.

Innovation should be among the top priorities, as the analysis revealed that it is a main capability and the key to reaching resilience. The goal is not to create something new, but to constantly adapt to change, transform challenges into opportunities, and be ready to change direction whenever necessary. This is how cities thrive, even in times of turbulence.

With appropriate investment and enhanced institutional capacities - especially in the field of innovation - cities can enhance their readiness to face future challenges and boost their resilience to respond, recover, and transform.

The World Governments Summit signed 9 agreements with the most prominent global consulting companies and research institutions to issue a series of reports and tools that present key trends and opportunities for governments to focus on and leverage in enhancing their readiness for the future in the post-pandemic world.

The reports focus on shaping the future of governments, studying global transformations and challenges, identifying the priorities and requirements of the coming phase, and developing new work mechanisms based on recent data in order to empower the next generation of governments.

The full report can be accessed through this link: https://www.worldgovernmentsummit.org/observer/reports/2024/detail/time-to-thrive--urban-resilience-shifts-from-trend-to-necessity