Most bilateral aid donors have regarded rural development as the priority area for alleviating poverty and supporting economic development in developing countries. This article is directed to showing why this is a mistaken approach and to increasing invalidity. Urbanization and its associated problems will dominate public perceptions in the coming 30 years as both Africa and Asia make the transition to predominantly urban societies. The article also examines how far structural adjustment reforms, particularly in sub-Saharan Africa, promise to change this perspective, and what separate problems they may throw up. Finally, new trends in aid are examined as they relate to the issues raised by urbanization.
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