Informal sector must be on the menu for inclusive growth

An enabled, well-supported and dynamic informal sector can be a potent instrument for generating more inclusive growth. New results from South African research highlights the important role of informal enterprises in providing paid employment and reducing poverty. But in order to strengthen this role substantially and sustainably, effective and enabling policies are required, including ‘smart’ formalization. If not, the sector will simply remain forgotten – and so will the people working in it.