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Title page 1

Contents 4

Connecting markets and people with effective transportation and more compact cities 5

Urbanization has not been a driver of inclusive growth 6

Three priorities for addressing the urban mobility challenge 6

Priority area 1: Enhancing the performance of passenger railways 10

Action 1: Incentivize PRASA to perform better 10

Action 2: Leverage information technologies to increase management efficiency 10

Action 3: Consider alternative models for passenger rail investment and operations 11

Priority area 2: Improving the efficiency and affordability of minibus taxis and integrating them into the urban transit system 11

Action 4: Reduce the cost of transportation for poor customers 12

Action 5: Foster the integration of minibus taxis into the public transit system 12

Action 6: Incentivize individual minibus taxi operators to cooperate and organize themselves 12

Priority area 3: Redirecting urban planning policies and regulations toward higher densification 13

Action 7: Adjust zoning and land use regulations to encourage land and building development closer to business areas 14

Action 8: Adjust pricing mechanisms to encourage land development in strategic areas 14

Action 9: Facilitate access to finance for projects in strategic areas 15

Action 10: Use digital tools to improve urban planning and coordination 16

Notes 20

Figures 4

Figure 1. High transportation costs penalize low‑income workers in South Africa 7

Figure 2. Commuters have moved away from the public transit system toward privately run buses and taxis over the past decade, 2013-2020 8

Figure 3. Spatial exclusion in Pretoria, 2023 8

Figure 4. A guiding framework for prioritizing policies to leverage cities for stronger and more equitable growth 9

Boxes 4

Box 1. Virtual connectivity 9

Box 2. Lessons from international experience with public-privatepartnerships in urban transit systems 11

Box 3. Opportunity zones in the United States 15

Box 4. How smart cities around the world have used spatial planning platforms 17

Annex Tables 4

Annex table A1. Ranking of measures through the "FIT" filter of feasibility, impact, and timing 18