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Report No.4503.PAK Pakistan SindUrban Sector Memorandum Public Disclosure Authorized May 7,1984 Urbanand WaterSupply Division SouthAsia ProjectsDepartment FOR OFFICIAL USE ONLY Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Document of the World Bank This document hasa restricteddistribution and may be usedby recipients only in the performanceof their official duties. Its contentsmay not otherwise be disclosedwithout World Bankauthorization. G(URRECTCYEQUIVALENTS Currency Unit = Rupee (Rs) Rs 10 = US$0.77 US$1 = Rs 13.0 MEASURES AND EQUIVALENTS 1 meter (m) = 39.37 inches or 3.28 feet 1 kilometer (km) = 0.62 miles 1 hectare (ha) = 2.47 acres or 10,000 square meter 1 liter (1) = 1.06 quarts liquid or 0.26 gallons 1 marla = 20.9 square meters or 225 square feet 1 kanal = 418 square meters or 20 marlas PRINCIPAL ABBREVIATIONS AND ACRONYMS ADP Annual Development Programme GOP Government of Pakistan GO SIND Government of Sind HBFC House Building Finance Corporation HDA Hyderabad Development Authority HMC Hyderabad Municipal Corporation KDA Karachi Development Authority KMC = Karachi Metropolitan Corporation KPT Karachi Port Trust KTC Karachi Transport Corporation KWMB Karachi Water Management Board KWSB Karachi Water and Sewerage Board MLO Martial Law Order NTWFP = Northwest Frontier Province RPO = Sind Regional Plan Organization WASA = Water and Sanitation Agency FOR OFFICIALUSE ONLY PAKISTAN SIND URBAN SECTOR MEMORANDUM Table of Contents Page No. PREFACE AND EXECUTIVE SUMIMARY ........................... .... i -ix I. BACKGROUND ...................... *.......................... 1 A. The Province of Sind ....................e , .................... 1. - Urban Development ....... ......*......... ..... ....... 1 - Karachi ............................... ... 2 - Hyderabad and Sukkur ..................... ............. 3 - The Smaller Towns . ... .. .... .. ... 3 B. Institutional and Financial Framework .................... 3 - Federal Institutions ................... ....... 4 - Provincial Institutions ................. ........... 4 -Divisional Level ............... ............ ...... 0..... 5 - Local Institutions in Karachi ..................... 5 - Local Institutions in Secorndary Towns ................. 5 - Government Finances . ............... .. ... 5 C. Urban Land and Shelter .. ................................ 6 - Recent Legal Developments in the Housing Sector. 7 - Organizations Active in Land Development .... 8 - Town Planning ... .. .......................... 9 - Housing Supply and Demand .......... ......... 9 - Plot Development in Karachi . ........ 10 - Katchi Abadis in Karachi ................. 12 D. Urban Services........ 13 - Water Supply . ...................... 13 - Sewerage and Drainage ................ .. .... ... 15 - Solid Waste Management ........... ...... .......... .... 15 - Traffic and Transportation ................... .. 16 II. ISSUES AND OPPORTUNITIES ........ .......................g..., 17 A. Regional Development . .......... 17 - Distribution of City Sizes. ..................... 17 - Economic and Social Contrast . 18 - Alternative Dispersal Strategies .... 20 - Opportunities for Action..................,............ 22 B. Institutional Framework ............... .............. .... 22 - Urban Management in Karachi ,........................... 22 - Urban Management in Secondary Towns ................ 24 - Comprehensive Programming and Budgeting ................ , 25 - Staffing and Training .................. ... ........... 25 - Opportunities for Action ............................. 26 This documenthas a restricteddistribution and may be used by recipientsonly in the performanceof their official duties. Its contents may not otherwise be disclosed without World Bank authorization. Page No. C. Pricing and Urban Finance .. ...... ................... 26 - Pricing of Public Services ........... ....... I.......* 27 - Urban Finance ...... ..... .. 0........ 28 - Opportunities for Action ............................... 30 D. Urban Land and Shelter .. ......................... .30 - Growth of Katchi Abadis in Sind ....................... 30 - Use of Plots in Karachi . ..... 33 - Pricing of Land ............... ....... 33 - Plot Allocation ..................... 34 - Standards of Low Income Plots ....................... 35 - Opportunities for Action ........................ o...... 35 E. Urban Services ................ ........................ 36 - Water Supply .... 36 - Sewerage and Drainage .......... ....................... 37 - Traffic and Transportation in Karachi ... 38 III. URBAN DEVELOPMENT STRATEGY - PROGRAMS AND PROSPECTS .......... 40 A. Strategy and Objectives for Future Programs ........... 40 B. Immediate Action Plan .. ..... ................... 0...... 42 List of Annexes 1. Historical Abstract of Sind... .. 44 2. Urban Population Growth in Sind and the Nation . .... 47 3. Urban Development in Sind ................................. 53 4. Inter-District Population Growth .............. 58 5. Review of Karachi's Economic Concentration ................. 65 6. Employment in Sind .................................. 0. ... 71 7. IncomeDistribution .X...... ... ... 84 8. Existing Governmental Institutions . .. .90 9. Finances and Resource Flows. 95 10. Urban Organization and Management Proposals for Karachi 99 11. The Sind Building Control Ordinance ..... ....................105 12. KDA Advertisements for Plots ................................ 115 13. Katchi Abadi Upgrading in Karachi ........... .. ..............117 14. The Spatial Distribution of Services ... .....................123 15. Source Documents ........................ 126 MAPS 16535 - Pakistan, Cities with More Than 100,000 Population 16536 - Pakistan, Districts and Major Towns in Sind SIND URBANSECTOR MEMORANDUM Preface This report is based on the findings of an urban sector mission 1/ which visited Pakistan in February 1982 and travelledextensively in and arounrdKarachi and in Sind (visitingnine provincialtowns). During these visits the mission met with many Government officials,elected repre- sentatives,businessmen and private individuals,with whom the main urban sector issues were discussed. The mission worked closely with the Regional Plan Organization(RPO), the staff of which acted as counterpartsand provided invaluableinformation and guidance to the mission members. The objective of this memorandumis to highlight the main issues and opportunitiesin the urban sector in Karachi and the rest of Sind and outline a program which would contributeto developmentin the sector. More detailed descriptionsand analysis of conditionsin the urban sector are available in the publicationsof the RPO and other agencies (see Annex 16 for list of publications). The memorandum is aimed at three distinct target groups and is structured accordingly: (a,) an Executive Summary for senior decision-makers; (b) a brief but comprehensivereport to inform administratorsand others in Pakistan and the World Bank of main issues (those who are familiar with Sind may wish to skip the background section); and (c) technicalannexes to provide more detailed analysis of certain subjects to techniciansin the Bank and in Pakistan. 1/ Consistingof Messrs. D. Graham, J. Courtney,C. Nenckhoff (Bank staff), C. Turner and Professor H. Richardson (consultants). - ii - SIND URBANSECTOR MEMORANDUM Executive Summary 1. Sind (population 19.0 million), the second largest province of Pakis- tan after the Punjab (population47.l million), is also the most urbanized with 43% of the population living in urban areas. This urban concentration is due to Karachi (population5.1 miLlion), 1/ Pakistan's largest city and only port. The rest of Sind is predominantlyrural with only 21% of the population living in urban areas. The urban population is growing at the rate of 4.4% per annum and about 60% of population growth over the next 20 years will be located in urban areas. The key urban sector issues in Sind center on: (a) the regional developmentbalance; (b) institutions,training and public awareness; (c) the pricing of public services, and urban finance; (d) land and infrastructuredevelopment; (e) water supply and sewerage; (f) urban transport. These issues are described in more detail below. Regional DevelopmentIssues (paras 2.01-2.18) 2. The contrasts between Karachi and the rest of Sind are marked and give rise to the issue of "duality,"which has important policy implications. On the one hand we see a rapidly expanding, relatively prosperous city serv- ing many national functions, while, on the other hand, there is a large, poor, backward, rural area of the rest of Sind, with very little linkage between the two economies. Provincial Government perceives this as a major issue and would like to channel some of Karachi's prosperity to the rest of Sind; it also wants to relieve some of the pressure exerted on Karachi's services by high populationgrowth. There are many constraintsto achieving this: (a) Commercial opportunitiesin Karachi provide higher rates of return on capital than elsewhere; (b) Land and infrastructureservices are underpricedin Karachi, attracting labor and capital and placing a burden of subsidies on the Provincial Government; 1/ 1981 Population Census figures. It is estimated that due to under- enumerationin the census and subsequentgrowth the population of Karachi would be approximately6 million in mid-1983. Throughout this report 1981 census figures are used for comparativepurposes. - iii - (c) Infrastructureand facilities in secondary
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