Addresses around the world
Informal Settlements and the Addressing Gap
Why many communities lack formal addresses, what that costs residents and businesses, and how location-based approaches can help close the gap.
Updated 14 October 2026 · 2 min read
In many fast-growing cities and rural areas, large numbers of people live in places that have no formal addresses. Streets may be unnamed, plots unnumbered or the settlement unrecognised on official maps. This is often called the addressing gap.
Why the gap exists
- Rapid growth: settlements expand faster than authorities can name and number streets.
- Informal development: some neighbourhoods are built outside formal planning.
- Irregular layouts: lanes and paths do not follow a grid.
- Resource limits: addressing programmes require surveyors, signage and maintenance.
- Changing populations: addresses become outdated as households move.
What it costs
Without a usable address, residents may have trouble:
- receiving parcels and mail,
- opening accounts or proving where they live,
- being reached by emergency and public services,
- being found by customers or employers.
For businesses and carriers, deliveries to these areas take longer and fail more often.
How people cope
Residents and couriers rely on informal methods: a nearby landmark, a phone call to guide the driver, a shop used as a collection point, or a PO box in a nearby town. See landmark-based addressing and places without street names.
Approaches to closing the gap
Different approaches work at different levels:
- Formal programmes to name streets and number buildings.
- Community mapping to record paths and buildings locally.
- Location-based identifiers that mark exact points on a map without waiting for formal addresses.
Location codes belong in the third group. They do not create an official address, but they allow a household or shop to share an exact, unambiguous point with a courier or visitor. See exact-location codes for ambiguous addresses.
Limits to keep in mind
A location identifier is only as useful as the number of people who accept it. It also does not provide legal recognition, and it is not a substitute for official addressing programmes or for the postal system.
Summary
The addressing gap is a practical problem for deliveries, services and inclusion. Informal methods fill part of it, and precise location identifiers can strengthen them while formal addressing catches up.
Frequently asked questions
What is the addressing gap?
It is the difference between the places where people live and work and the places that have a formal, usable address. Where the gap exists, deliveries and services depend on informal directions.
Can a location code give someone an official address?
No. Official addresses are assigned by authorities. A location code can identify a precise spot for deliveries and navigation, but it is not an official address.