ESV Ipadeola Dorcas Omolale
The World population is growing at a geometric rate. Birth rates are on the increase, both in developed and developing economies of the World. Reports have it that in 1900, the World population was put at less than 2 billion people on earth. Compared to this figure, the World population today is put at 8.05 billion persons. This sharp difference of 6.05 billion from 1900 – 2023 (one hundred and twenty-three years ago), was occasioned by the unprecedented population growth across all regions in the last 12 decades. By 2050, this figure is projected to be approximately 9.7billion people on planet earth.
This global population rise has both positive and negative economic implications on both the developed and developing countries of the World. For countries that have good infrastructure in place, including housing, that country tends to do better in the utilization of its population for economic growth and development.
For all the people living on earth today, having a comfortable housing space is very key to other aspects of their human capital development. Unfortunately, there is a gross housing shortage globally. Available statistics have it that over 1.8 billion people around the World do not have adequate housing. And 150 Million people are globally homeless.
This very disturbing statistics, no doubt, has serious negative economic and social implications. In most rural and urban suburbs across all regions of the World, lack of housing accommodation has economically displaced so many persons. These suburbs in most cases are breeding grounds for social miscreants whose activities have led to an increase in criminal cases.
On the flip side, the increasing global population has in no small measure facilitated the growth of the global real estate market space. In a recent report published by Grand View Research, one of the World’s largest and most trusted market research database, the global real estate market size was valued at USD 3.69 trillion in 2021, and is expected to expand at a Compound Annual Growth Rate (CAGR) of 5.2% from 2022 t0 2030.
Key elements in the Sustainable Development Goals (SDGs), as adopted by all United Nations member states in 2015 are aimed at making the World a better place to live and have a decent life. SDG goal number 11, Sustainable Cities and Communities, speaks directly to the housing needs of the global community. In addressing this, the 17 SDGs are all connected in their collective quest to addressing human needs.
In order to achieve the growing global housing needs, there have been increased activities among players in the global built environment space, thereby increasing the market and economic activities of players in the competitive real estate business. In meeting this global demand, smart cities are aggressively being adopted and developed across the World especially in the advanced economies. Despite the harsh economic environment, leading real estate players across the globe are in for a good time, thereby increasing growth and developments in this very important sector of the global economy.
One of the fastest ways to address the global housing demand as occasioned by the growing population of the World is to adopt regional, continental wide housing policies. With concerted effort through well cut out housing policies, continents like Africa will achieve a lot in addressing its escalating housing demands.
The SDGs that are aimed at addressing housing development that will entrench better living conditions of the people should be aggressively pursued by the government at all levels. Housing policies that are aligned with the SDGs will have a multiplier effect on the overall global economic growth and development.
Poverty is huge in most continents and regions of the Word, and development experts have argued over the years that one of the best ways to halt the growing poverty trend is for the government at all levels to pursue and implement the SDGs to the latter, and this will in turn addressed the growing housing needs of the World population.
ESV Ipadeola Dorcas Omolale is a Registered Estate Surveyor and Valuer. She sent in this piece from Sheffield, England.
