Social and economic factors

• When India became independent in 1947, the city of Bombay was renamed Mumbai and eventually became the capital of the state of Maharashtra.
• Mumbai continued to grow and prosper, largely because of the location of the port of Mumbai which attracted many industries.
• The development of the new port of Navi Mumbai has continued to attract industries to the area including many pharmaceutical plants.
• Mumbai is also the financial capital of India containing the headquarters of many banks and businesses as well as being home to the world famous “Bollywood” film industry.
• Mumbai, like all developing world cities, experiences many urban problems.
• There are numerous shanty towns or “bustees” in Mumbai.
• One of the largest bustee is Dharavi - an area of just over 2km2 which has a population of over 1 million making it one of the most densely populated areas in the world.
• There is a lack of clean water and sanitation services leading to outbreaks of TB, cholera and dysentery.
• Dharavi is home to a thriving “informal” or “black market economy”.
• As Mumbai has grown outwards, it has  completely surrounded the bustee of Dharavi which now occupies prime development land in the city centre.
• In 2004, the Dharavi Redevelopment Project was launched with the aim of rehousing residents in newly built apartment blocks. The project has stalled a number of times as local people are reluctant to leave their city centre location fearing for their jobs and businesses.