Can be strictly defined as being not within the formal or legal sector and therefore not raised and not provided with services. While there are considerable difficulties in collecting data and statistics on this sector, studies suggest that the informal economy is huge in Sub Saharan Africa, and is a major contributor to GDP, employment and trade.
While informal sector workers are often portrayed as those engaging in illegal activities or evading taxes, the majority of workers enter the sector due to the high entry barriers in the formal sector. Particularly for the poor, the requirements for entry into the formal sector are largely unattainable e.g. high educational requirements, onerous regulatory procedures to open a business, etc.
The informal sector generates a variety of benefits for African economies. Informal sector activities generate employment and provide a way out of poverty for many people and their families, especially at times of economic adjustment. Informal workers not only support their own families but also create employment for and support others. Also, the informal economy has positive multiplier effects on other sectors, particularly the transport, manufacturing and agricultural sectors through higher demand and expanded markets for their products. The sector also contributes to food security through the distribution of goods to remote areas, often not serviced by the formal sector.
The informal economy is also important to gender equality in economic opportunities, as women dominate the sector, which provides them with flexible opportunities for employment, increased income and poverty reduction.
LEDNA aims to offer the fullest possible number of local economic development approaches that are publicly available. Together with the network members we will refine and add to these. LED is universally seen as a locally driven, planned and partnership approach to improving either:
1. Entire local economies e.g. a small town and its rural surroundings or a city or even a metropolitan region - a location with a common local economy.
2. Specific parts of local economies - e.g. a market square, a port, commercial district, industrial estates, housing or slum improvement areas.
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Discutez des thèmes DEL avec la communauté LEDNA dans notre section blogs !
Business climate indicates how governments support business development. Even though different businesses require different conditions, there are certain local attributes which make the locality attractive to investors when comparing to other places.
Improving the performance of small businesses requires a wide scope of services – starting from basic skills and management training up to specific advisory services, marketing or technology assistance. BDS assist businesses to perform better, but they are also a business opportunity for service providers.
Businesses need certain framework conditions for growth. There are factors that either “make or brake” the local economy. They rank from governance issues and legal certainty to the institutional set-up of public and private sector, including access to business services, finance and adequate social and economic infrastructure.
Le climat des affaires est indicateur de la qualité du soutien des autorités locales au développement des entreprises. Bien que les conditions requises soient différentes d’un secteur de l’économie à l’autre, il existe néanmoins des attributs locaux qui peuvent être développés pour rendre une localité plus attractive aux investisseurs en comparaison à d’autres localités.
Clusters are geographic concentrations of interconnected companies, services or associated institutions within a sector. The development and upgrading of clusters is an important agenda for governments, companies, and other institutions. Clusteri development initiatives are an important new direction in economic policy, building on earlier efforts in macroeconomic stabilisation, privatisation, market opening, and reducing the costs of doing business.
Les collectivités locales représentent la sphère de gouvernement la plus proche des communautés et jouent donc un rôle clé dans la satisfaction des besoins socio-économiques et matériels des populations locales. Elles assurent la stabilité et sont sensées « structurer et gérer » le processus DEL. Elles ont un rôle essentiel de facilitation et de soutien aux autres acteurs locaux en établissant des partenariats entre le secteur public, le secteur privé et la communauté toute entière afin de promouvoir le développement économique.
Les pôles de développement sont des concentrations géographiques d'entreprises interconnectées et de services ou institutions associées au sein d'un secteur. Le développement et la modernisation des pôles est un objectif important pour les gouvernements, entreprises et autres institutions. Les initiatives de développement des pôles sont une nouvelle orientation importante des politiques économiques s'appuyant sur les efforts antérieurs en matière de stabilisation macroéconomique, de privatisation, d’ouverture des marchés, et de réduction du coût des affaires.
