Neighbourhood and district economic development
The majority of African urban residents live and work in informal settlements, engaged in small-scale, often home-based economic activities. Earnings from these activities are typically low and precarious, with informal moneylenders providing vital services to residents, but usually on exploitative terms.
Some residents work beyond their neighbourhood, through their own microenterprises or employed by larger businesses, which tend to be more stable, regularised and with better established markets. However, due to unreliable infrastructure services and limited benefits of co-location in African cities, there are few such firms, so their contribution to poverty reduction and structural transformation is limited.
Looking through ACRC’s political economy lens, neighbourhood and district economic development reflects the distribution of economic and land rent in the local economy. City systems need to be mobilised so that enterprises can function smoothly. The living standards of the urban poor in these neighbourhoods could therefore be improved by strengthening city economies, generating “decent work” opportunities and boosting entrepreneurial skills. This involves a wide range of key actors, including economic development agencies, business/trade associations, informal business networks, trade unions and other labour organisations, and local politicians.
Within the neighbourhood and district economic development domain, we are focusing on the following cities:
LATEST NEWS from ACRC

New research: Strengthening urban systems, services and institutions in Lagos
A newly published ACRC report by Taibat Lawanson, Lindsay Sawyer and Damilola Olalekan explores the complex dynamics of contested political systems and their impact on the people of Lagos.

Improving access to information and development opportunities for young people in Kampala
Although precise data on the number of youth living in the capital city Kampala’s informal settlements is lacking, voting patterns indicate a high concentration of young people who have consistently influenced electoral outcomes in the city. Beyond politics, Kampala’s youth also play a central role in Uganda’s economic development as key consumers and contributors to the informal and formal sectors.

What drives land value change in African cities? Unlocking value and the prospects for progressive reform
The urgency of developing more effective mechanisms to capture rising land values for urban infrastructure and services is now widely acknowledged. It is also accepted that this is highly challenging.