Although it has been suggested that structural adjustment policies have slo
wed Third World urban growth and have stimulated a spatial deconcentration
of economic activity, this paper argues that African cities continue to gro
w and mainly through peri-urban development. This investment comes mainly f
rom domestic sources and migrants' remittances, and tends to he in consumpt
ion rather than production. Reasons include cultural factors lack of confid
ence in the national economy and in the state's long-term economic objectiv
es, an increasing demand for housing, improvements in intraurban transport,
and a desire to spread investment risk among a range of alternatives inclu
ding housing.