Habitat III Issue Papers - 12: Local Economic Development

The sustainability of cities and towns should be based on endogenous growth, and for this a local economic development (LED) approach is essential. Municipalities need to use their own assets and comparative advantages to the full. Yet, this is not always accomplished. This paper aims to raise the awareness about the LED strategy, with its related tools and data. While there is a burgeoning literature on LED, it is beyond the scope of this paper to cover all its aspects.

This issue paper on "Local Economic Development" is part of a series of thematic reports offering a comprehensive, expert-level view of the processes of urbanisation that characterise today’s century of cities — and look forward to what could and should come next. The 22 “issue papers” were submitted by a range of multilateral institutions. They will ultimately be used to guide discussion by 10 formal “policy units”, which will focus on the six thematic issues deemed important for the Habitat III process. Made up of independent experts, these units touch on housing, resilience, equity and other issues. Eventually, they will each provide formal input regarding the crafting and, especially, implementation of the New Urban Agenda.