The future of sustainable tourism – and other urban transformation stories to read this month

The global tourism industry is growing and could be contributing a staggering $16 trillion contribution to global GDP by 2034, as the chart below shows.

But recent anti-tourism protests in Barcelona and across Spain, Italy, and Portugal show an urgent need to address the challenges facing the sector. The World Economic Forum's latest report, Travel and Tourism at a Turning Point: Principles for Transformative Growth, highlights that sustainability depends on smarter management and finding ways to address problems like overtourism by finding ways to distribute tourism more evenly.

The sector currently supports approximately 1 in 10 jobs globally, making it crucial for urban economies.

Cities are increasingly adopting innovative approaches to balance visitor needs with community requirements. Atlanta's Mercedes-Benz Stadium exemplifies successful urban integration, where community workshops during construction led to flood-resistant parks and local employment programmes, training over 700 residents for stadium roles. Similarly, San Diego's Tourism Accelerator programme systematically supports 10 diverse local businesses annually, with participants reporting increased revenue and job creation.

Another Forum report outlines Four Scenarios for the Future of Travel and Tourism, highlighting how geopolitical stability, economic growth, sustainability transitions and technological disruption could reshape urban tourism landscapes.

By 2030, these forces could converge, potentially creating four possible future scenarios:

Success stories like Rwanda's strategic pivot to business tourism, generating $84.8 million from 115 events, demonstrate how destinations can diversify beyond traditional offerings while fostering urban development.

This transformation represents a fundamental shift towards viewing tourism as a catalyst for inclusive urban growth rather than merely visitor accommodation.

India must invest over $2.4 trillion by 2050 to build climate-resilient urban infrastructure, according to a new report from the World Bank. The massive investment requirement reflects the urgent need to protect India's rapidly expanding urban population from extreme weather events linked to climate change.

The country's urban population is projected to nearly double from 480 million in 2020 to 951 million by 2050, making infrastructure adaptation critical. Without large-scale investments in housing, transport, water and waste management systems, urban flooding alone could cause economic losses rising from the current $4 billion annually to $30 billion by 2070.

Currently, India spends just 0.7% of GDP on urban infrastructure, far below global benchmarks. Heat mitigation measures alone could save 130,000 lives annually by 2050 while boosting GDP by 0.4%, the Towards Resilient and Prosperous Cities in India report finds. Private sector participation, currently limited to 5% of urban infrastructure investment, must significantly increase to meet these unprecedented funding needs.

China has pledged to build liveable, sustainable, and resilient cities as it enters a new phase of urban development, moving away from the breakneck expansion that once fuelled its economic rise, Reuters reports. At the first top-level urban planning meeting in a decade, the Central Urban Work Conference led by President Xi Jinping, top officials acknowledged a shift in urbanization priorities - from rapid growth to more balanced, stable development.

Global electric vehicle sales surged 24% year-on-year in June 2025, led by strong demand in China and Europe, while North American sales declined 1%, reflecting regional disparities in market growth and subsidy support.

Uber and China's Baidu have announced a partnership to deploy thousands of Baidu's Apollo Go self-driving taxis on the Uber platform across several international markets outside the US and China, with launches expected in Asia and the Middle East later this year.

In Viet Nam, African swine fever has triggered 514 outbreaks across 28 out of 34 cities and provinces this year, prompting government warnings of potential food supply disruptions in urban centres as over 30,000 pigs have been culled to contain the disease.

Farmers in the US are pushing back against the $4.9 billion, 800-mile Grain Belt Express project, which aims to transmit renewable energy from Kansas to cities across the Midwest and East Coast, citing concerns over "eminent domain" - or compulsory acquisition – actions affecting rural communities.

The world is not experiencing a simple housing shortage, but rather a global mismatch between where homes are available and where they are needed, as well as issues of affordability and access. In many regions, rural-to-urban migration continues to create surplus housing in depopulated villages, while cities struggle with overcrowding and insufficient supply, writes Olivia Nielsen, Principal, Miyamoto International. While housing has become a political flashpoint, solutions must refocus on value and outcomes, not just volume and output.

Cities often have sizeable budgets than can be strategically leveraged against issues like climate change. Innovation-friendly procurement in city budgets holds real potential. The G20 Global Smart Cities Alliance has developed two new resources for city officials to take action now. Read more about the tools in this article.

Latin America and the Caribbean is the world’s most urbanized region. Informal urban communities are at the epicentre of converging crises: entrenched social vulnerability intersecting with escalating climate risk. By leveraging inclusive, anticipatory and just AI, Latin America and the Caribbean can emerge as a global leader in urban climate resilience, writes climate activist and Global Shaper, Luis Antonio Ramirez Garcia.

Climate proofing infrastructure is no longer optional; it is central to economic sustainability, public safety and disaster preparedness. The decisions we make today will define the safety and prosperity of future generations, write two Global Shapers. This makes climate proofing of infrastructure not just a technical or economic imperative, but a moral one.