From Congestion to Sustainability: Why Cities Must Invest in Cycling Infrastructure

The CyclingMax tool, developed by the World Bank, ITDP, and Progress Analytics LLC, provides a data-driven approach to evaluating the economic, environmental, and health benefits of cycling infrastructure. By showcasing successful case studies in LMICs, it highlights cycling as a cost-effective, sustainable solution for urban mobility challenges.

Urban mobility is at a crossroads, and with rapid urbanization, cities worldwide are struggling to manage increasing congestion, pollution, and transport costs. Research from institutions such as the World Bank, the Institute for Transportation and Development Policy (ITDP), and Progress Analytics LLC highlights the urgent need to rethink urban transport strategies. Despite the proven benefits of active mobility, particularly cycling, most cities continue to invest heavily in motorized transport, exacerbating emissions, health risks, and social inequalities. The CyclingMax tool, developed through collaboration between these institutions, aims to provide a standardized methodology for evaluating the costs and benefits of cycling infrastructure, helping policymakers make informed investment decisions.

The challenges associated with urban transport systems are particularly pronounced in Low- and Middle-Income Countries (LMICs), where public transport is often unreliable, expensive, and poorly integrated with active mobility. Rising motorization rates threaten to erode the advantages of cycling-friendly urban layouts that many of these cities already have. Cycling infrastructure remains insufficient, with cities building only a fraction of the necessary facilities to meet global climate targets. Well-planned cycling networks have been shown to improve safety, reduce travel costs, and enhance the overall quality of life for urban residents. However, a lack of comprehensive data on the economic value of cycling investments has made it difficult for decision-makers to justify large-scale infrastructure projects. The CyclingMax tool seeks to bridge this gap by offering a clear, data-driven approach to assessing the economic viability of cycling projects.

Cycling as a Safer Mode of Transport

One of the primary benefits of cycling infrastructure is improved road safety. Studies from cities such as Copenhagen and Bogotá have demonstrated that physically separated cycling lanes significantly reduce fatalities and serious injuries. The introduction of protected lanes in Bogotá led to a 34% reduction in cycling-related deaths even as the number of cyclists increased from 0.2% to 7% of total commuters. Crash modification factors (CMFs) indicate that segregated cycling paths can reduce accident risks by as much as 59%, making them one of the most effective safety interventions in urban transport planning. The CyclingMax tool incorporates these safety benefits into its cost-benefit analysis by quantifying the reduction in crash rates and the associated economic savings.

Beyond safety, cycling infrastructure contributes to environmental sustainability by reducing greenhouse gas emissions. Shifting trips from motorized transport to cycling directly cuts CO₂ emissions, leading to improved air quality and lower social costs associated with pollution-related illnesses. The Health Economic Assessment Tool (HEAT) developed by the World Health Organization (WHO) measures these environmental benefits in terms of operational emissions, energy supply emissions, and vehicle lifecycle emissions. Studies from ITDP and the World Bank estimate that investments in cycling infrastructure can lead to significant long-term reductions in urban emissions. The CyclingMax tool quantifies these benefits by calculating the estimated CO₂ reductions based on mode shift patterns, integrating carbon pricing models to provide a financial estimate of emissions savings.

Cycling as a Health Booster

The health benefits of cycling are equally substantial. Regular cycling lowers the risk of cardiovascular diseases, strengthens muscles, and reduces stress levels. Research indicates that walking for 30 minutes or cycling for 20 minutes daily can reduce mortality risk by at least 10%. WHO’s HEAT model, which is integrated into the CyclingMax tool, calculates the reduction in mortality due to increased cycling and translates it into financial savings using the value of a statistical life (VSL). Case studies from Buenos Aires and Lima reveal that health savings often constitute the largest share of economic benefits derived from cycling infrastructure investments.

Travel time savings are another major advantage of cycling infrastructure. Congestion in car-dependent cities leads to significant delays, reducing productivity and increasing fuel consumption. Investments in cycling lanes have been shown to reduce travel times for short- to medium-distance trips. For example, in Tianjin, China, active mobility investments saved travelers an average of 15 minutes per metro trip and 2 to 4 minutes per bus trip, leading to an economic benefit of approximately $2.6 billion. The CyclingMax tool models these time savings by analyzing mode shifts and average travel speeds, assigning a monetary value to reduced commuting time.

Real-World Success Stories

To demonstrate the effectiveness of the CyclingMax tool, the report presents case studies from eight cities across LMICs. In Abidjan, Côte d’Ivoire, a $6 million cycling investment is expected to yield $52 million in net benefits, with an Economic Internal Rate of Return (EIRR) of 123.5%. In Dodoma, Tanzania, a $27 million project is projected to generate $60 million in net benefits. The most ambitious project, in Kampala, Uganda, involves a $131 million investment in a 493 km cycling network, with projected net benefits exceeding $1 billion. Similar projects in Addis Ababa, Lima, São Paulo, Foz do Rio Itajaí, and Recife illustrate how investments in cycling infrastructure can deliver high economic returns while improving mobility, safety, and environmental conditions. All case studies demonstrate EIRRs far exceeding the standard threshold for investment viability, reinforcing the economic case for cycling infrastructure.

The Future of Cycling in Urban Mobility

Despite the overwhelming benefits, challenges remain in scaling up cycling infrastructure investments. The primary barriers include financing constraints, political inertia, and insufficient data to support decision-making. Many governments prioritize road expansions and motorized transport subsidies, overlooking the cost-effectiveness and long-term gains associated with cycling. The lack of standardized methodologies for evaluating cycling projects has historically hindered investment, as policymakers struggle to compare the economic returns of cycling infrastructure against traditional road projects. The CyclingMax tool addresses this issue by providing a robust, user-friendly platform for cost-benefit analysis, allowing decision-makers to quantify returns using globally accepted economic indicators such as Net Present Value (NPV) and EIRR.

The future of urban mobility will depend on the ability of cities to integrate active transport modes into their broader transport networks. Scaling up cycling investments requires a shift in mindset, recognizing cycling as a viable, cost-effective alternative to motorized transport rather than a secondary option. Continued research and data collection are essential to refining cost-benefit models and expanding the range of benefits included in economic evaluations. The World Bank and ITDP emphasize the need for more localized studies to improve data accuracy and strengthen the case for cycling infrastructure. With tools like CyclingMax, cities can make evidence-based decisions that align with sustainability goals, economic efficiency, and public health priorities. By prioritizing cycling infrastructure, urban planners and policymakers can create more equitable, efficient, and resilient transport systems that benefit both current and future generations.