Conceptualising Informal Business Support in South Africa: A Critical Theory Perspective

Abstract

It has been said that the next wave of economic growth will come from townships. Over the years several researchers have conducted research on the township economy and the nature of the township economy. Their focus has been predominately on small businesses and entrepreneurial activities. However, as recent as 2020, the Department of Small Business Development has developed a strategy to close the support gap faced by informal businesses. This has been through the establishment of the National Informal Business Upliftment Strategy (NIBUS). Using the critical theory lens for analysis, the authors will argue that strategies like the above seek to play an emancipatory role especially when it comes to ongoing developmental issues such as poverty alleviation and socio-economic transformation in South Africa. The authors believe that choosing to support informal businesses within their informality is a form of emancipatory policy making and implementation. The authors believe that more policies should work towards meeting individuals where they operate such as in informal spaces. Such as approach in economic development will have a positive outcome on poverty alleviation