INCENTIVES FOR MEMBERS OF THE
Date
2011-05-05
Authors
Macaringue, Doris Afonso Nhone
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Abstract
The informal sector in Mozambique has grown quickly especially since
1992 when many people migrated from the rural to the urban areas where
they were involved with agriculture during the civil war. Once in the urban
areas, they ran small businesses as a way of subsistence. Both
Government and Municipalities are aware of the situation and are passing
laws and regulations to help this sector perform better. The
implementation of all regulation and laws are not readily accepted by the
traders and there are concerns about the procedures to be followed by the
traders.
The purpose of this research is to establish why informal traders fail to
operate in the space provided for them by Government which is intended
to encourage the traders to undertake their activities in appropriate
spaces. In an attempt to understand the phenomenon, both quantitative
and qualitative methods were used to answer the questions, and to test
the hypotheses.
Broadly the traders are willing to move to the space designated by the
Municipality and also to comply with the rules and regulations from the
Ministry of Trade and Industry. However, the Municipality should provide
better conditions in the designated spaces to attract traders and the law
needs to be more widely publicized and disseminated so that traders are
aware of current legislation.
Better communication between Government and Municipality with the
traders is required to increase their awareness of the rights that assist
them and their knowledge of the rules, policies and procedures they have
to follow once they are operating in this sector.
Description
MM - P&DM
Keywords
Informal business sector, Informal traders