Differentiated associations between urbanization structure and asset wealth inequality in Africa

Understanding the relationship between urbanization and inequality is critical for explaining regional disparities in developing countries. However, existing studies often treat urbanization as homogeneous, and the associations between urbanization structures and asset wealth inequality in Africa remain underexplored. To address this gap, this study integrates high-resolution asset wealth and urbanization data to examine associations between urbanization structures and inequality across Africa from 2000 to 2024. The results indicate that asset wealth growth in Africa exhibits pronounced urban–rural divergence, with rural areas experiencing less than half the growth observed in urban areas, corresponding to persistent regional disparities. Asset wealth growth also differs markedly across urbanization structure transition pathways, with regions transitioning toward higher levels of urbanization demonstrating faster wealth accumulation. Further econometric analysis reveals significant structural heterogeneity in the associations between urbanization and inequality: urbanization patterns characterized by suburban expansion and dense urban development are associated with higher inequality, whereas urban centre development is associated with lower inequality. Conditional scenario simulations further suggest that future urbanization pathways characterized by greater urban centre development may potentially correspond to lower levels of asset wealth inequality in Africa, although the magnitude of these changes remains uncertain. By adopting an urbanization structure perspective, this study highlights that the relationship between urbanization and inequality depends not only on the extent of urbanization but also on its spatial structure, providing new evidence for understanding urbanization–inequality dynamics and informing more inclusive urban development strategies in developing countries.