GDRC's Economy Sphere     The Informal Sector

So what kinds of policies best foster the informal sector to mainstream, without loosing its inherent advantages? What is its role in poverty alleviation?

T he informal sector is an oxymoron - on one hand it is an unorganized 'nuisance' sector whose members, for example, do not pay any form of tax; on the other, it provides jobs and increases incomes of the most vulnerable groups in a city - the very low-income group. What should the policies be? Who should be doing what? What is the link to the formal sector? There are no easy answers!

Highlights of GDRC Research

One-pagers: The Informal Sector and some Development Paradigms Parallels between the Lewis Model and the Informal Sector Supply and Demand Linkages of Informal Sector Enterprises Labour Market Issues in the Urban Informal Sector "Yes, but … " Local Government Attitudes towards the Informal Sector   Currently, GDRC is focussing on the role of informal sector activities within an urban economy context. It is also researching the strategic policy environments in which the informal sector can function efficiently.

Elsewhere in GDRC

Virtual Library on Microcredit - Informal Credit Markets Virtual Library on Microcredit - Financing Microenterprises UEMRI - Slums and Squatters The NGO Cafe