Durban - eThekwini Municipality has set aside R120 million in the next three financial years to build and upgrade infrastructure for the informal economy.
This was revealed by chairperson of the economic development and planning committee councillor Thembo Ntuli, who was speaking at a two-day Informal Economy Summit.
Ntuli was accompanied by deputy chairperson of the committee Phili Ndlovu and committee whip Nomvula Puleng Hlomuka.
The summit was held at the Inkosi Albert Luthuli International Convention Centre on August 22 and 23.
The City said the aim of the summit was to provide dialogue between traders, informal economy structures and the municipality to strengthen relations. The summit also served as a platform for the municipality to present programmes and plans aimed at developing the sector.
These developments will take the form of business hives, retail markets, traditional herbs and medicine market, a mealie cooker facility, buyback centres (for cardboard recycling), food court markets, shelters, kiosks, container parks and storage facilities for traders’ goods, as well as demarcated sites along the street pavements, to name a few.
Ntuli said several developments were under way across the City, with some anticipated to be completed soon.
“This sector is recognised as one of the main contributors to employment creation in the country which is why we continue to invest in this sector,” he said.
He said the informal economy sector contributes R15 billion to the City’s economy annually, which translates to more than 10% of the City’s gross domestic product.
“This sector has been a major provider of employment, goods and services for lower income groups,” he said.
Ntuli added that the municipality will issue up to 4 000 street trading permits by 2024 to create job opportunities.
“This process is under way as we advertised vacant trading sites recently and received overwhelming feedback. We are also upgrading a building at 126 Johannes Nkosi Road to accommodate local entrepreneurs and informal traders conducting various business activities,” he said.
During the summit, Hlomuka encouraged traders to meet the municipality halfway by operating with valid trading permits, to comply with council approved policies, and to clean up their working spaces and participate in clean-up campaigns organised by City officials.