While megacities in the more developed world are becoming saturated in terms of population, their counterparts in the emerging markets are really showing progress. Cities including Jakarta, Manila, Karachi and Mexico City are becoming drawcards for young, tech-savvy and mobile adults.
With the ASEAN integration in sight, we are already witnessing growth from Southeast Asian megacities including Jakarta and Manila, both physically and economically. While work is underway to create an economic powerhouse, these cities are becoming investment hotspots for real estate, technology, finance, education and industry. The demand for a successful integration, coupled with the pressure of rapid urbanization, is causing these countries to work on improving local infrastructure, with particular focus on their capital cities.
Colombo, Sri Lanka's largest city and commercial capital, is currently undergoing a dramatic transformation. Driven by the country economic growth and infrastructure development, we have seen greater urban migration towards Colombo. Skyscrapers have shot up across the city over the past five years, an attestation to the pulling power that the country is developing with domestic and international investors.
Earlier this year, Riyadh was named the Middle East's top financial center. As Saudi Arabia diversifies its economy to reduce its dependence on the oil and gas sector, the banking and financial markets are stepping up to attract significant investment into the country. Ambitious development projects in the city are expected to boost the local economy, offering local and international financial institutions, bodies and banks a home in Saudi.
In my opinion, Lagos has a very promising future. The city's rapidly growing population and strong economic growth is increasingly attractive to investors. As the second fastest growing city in Africa, Lagos is home to the country's banks and financial institutions, as well as corporate headquarters. Furthermore, it is one of the fastest urbanizing cities in the world. Consequently, Lagos has become a hub of high-tech innovation and development, increasingly alluring to investors, venture capitalists and entrepreneurs.
We are definitely seeing a change in megacities in the emerging markets. Businesses are benefiting from a number of reforms that have been implemented over the past five years, with an increasing number attracted to the abundance of opportunities in these rapidly growing cities.
The focus is now on the growth potential of tomorrow. Economic activity within developing countries is only expected to progress in coming years, as government reforms support financial, educational and technological development.
Across Asia, the Middle East, Africa and Latin America, megacities are revealing increasing infrastructural, economic and investment potential. Young and growing populations, coupled with economic growth - including strong GDP projections - are turning these megacities in a desirable choice for foreign investors, multinational corporations and financial institutions.