The country is more urban than we think. Policymakers are finally coming round to accepting this reality

In an opinion piece in this newspaper (Chasing definitions in India), we argued that the official modes of recognizing urban areas in India underestimate the true extent of urbanization.

Using the census definition, India is 31% urban. But we found that if we apply Ghana’s definition of urban, India is 47% urban, and if we apply Mexico’s definition, India is 65% urban. The differences in urbanization rates are even starker at a subnational level. For instance, Kerala is an anomaly and goes from being around 16% urban as per the administrative definition to over 99% urban using Ghana’s and Mexico’s definitions.

Following the news of the central government’s directive to convert census towns to urban local bodies, a national newspaper reported that the secretary of local self-government in Kerala, A.P.M. Mohammed Hanish, suggested that the minimum population threshold to upgrade areas to an urban status should be increased to 25,000—a benchmark that is so high that no country uses it in its urban definition to the best of our knowledge. He stated, “If the parameters prescribed by the Union ministry were strictly followed, there may not be any panchayat left in the state.” This corresponds exactly to our findings of Kerala already being almost completely urban when we apply other definitions. It also emphasizes the reluctance of state governments to recognize that urbanization is a reality.

This desire to stay rural may stem out of perceived advantages that are enjoyed by rural areas, such as access to funding through rural development schemes or lower taxes. However, these advantages may not necessarily exist.

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