The study “New Challenges for Cities: Notes for a Necessary Reflection” was commissioned by the Eixo Atlântico do Noroeste Peninsular, a cross-border association that brings together 39 municipalities from Northern Portugal and Galicia. Presented in January 2025 at Europarque, in Santa Maria da Feira, the report was authored by Arlindo Cunha, Professor of Economics at the Catholic University of Porto and former Portuguese Minister of Agriculture, and Fernando González Laxe, Professor of Applied Economics at the University of A Coruña and former President of the Xunta de Galicia.
Context and objectives of the study
The study examines the economic and demographic context as well as population behaviors in Galician and Northern Portuguese cities in 2023. It highlights that more than half of the global population already lives in urban areas, with UN projections indicating an increase to almost 70% by 2050. Cities are emerging as key hubs of economic power, innovation, and knowledge, playing a crucial role in the progress of contemporary societies. However, this urban expansion brings significant challenges, including population growth, climate change, and increasing economic inequalities.
Key challenges identified
- Population Growth and Urbanization – The continuous increase in urban populations requires adapting infrastructure and public services to maintain a high quality of life.
- Climate Change – Cities must implement mitigation and adaptation strategies to reduce greenhouse gas emissions and increase resilience to extreme weather events.
- Economic Inequalities – The polarization of economic growth has widened social disparities, necessitating policies that promote inclusion and equity.
- External Threats – Economic crises, pandemics, and geopolitical conflicts can significantly impact urban dynamics, requiring preparedness and resilience from cities.
Recommendations for cities
The authors emphasize the need for effective public policies that integrate economic, social, environmental, and institutional sustainability. They highlight the importance of visionary urban leadership capable of planning development in an integrated and sustainable manner. Collaboration between local governments, businesses, and citizens is seen as essential for achieving balanced and prosperous urban development.
Additionally, the study suggests that cities should modernize public services and accelerate necessary investments, avoiding citizen dissatisfaction while taking advantage of smart solutions for urban management. Fostering a culture of innovation and civic education is also deemed essential to tackle future challenges.
Among the specific measures proposed are:
- Developing a culture of strategic planning and results-oriented urban management – Implementing measurable objectives to promote more efficient and goal-aligned governance.
- Strengthening public-private cooperation – Encouraging partnerships between the public and private sectors to optimize resources and expertise, boosting sustainable and innovative urban projects.
- Reducing bureaucracy and modernizing administration – Simplifying administrative procedures and adopting advanced technologies to make urban management more efficient, accessible, and transparent.
- Improving intergovernmental coordination and shared governance – Enhancing cooperation between different levels of government to ensure a more integrated and effective urban policy management.
The study “New Challenges for Cities“ provides an in-depth analysis of current urban dynamics in Galicia and Northern Portugal, offering strategic recommendations to help cities become agents of change, capable of addressing future challenges in a sustainable and inclusive manner.
