daniel chigunwe
Note from ZNCC
The Zimbabwe National Chamber of Commerce (ZNCC) is proud to announce the 2024 Annual Congress, set to take place from June 26 to 28 in the picturesque city of Victoria Falls.
This prestigious event will gather industry leaders, policymakers, and stakeholders to explore innovative solutions to one of Zimbabwe’s most pressing economic challenges: dealing with informality.
At the heart of this year’s congress is a high-level panel discussion titled: “New Perspectives on Dealing with Informality: A Focus on the Zimbabwean Context.”
This session promises to be a highlight, featuring esteemed speakers and experts who will delve into the complexities of informality in Zimbabwe, proposing actionable strategies and best practices.
The panel will be graced by the presence of Sevious Mushosho, Group CEO of Edgars Stores Ltd, one of Zimbabwe’s leading retail giants.
With over 20 years of multinational experience, Mushosho is well-versed in navigating the challenges posed by the influx of second-hand clothing and the informal sector.
His insights will be invaluable in understanding how formal retail businesses can adapt and thrive amidst these challenges.
Joining him will be other notable figures from various sectors, including United Nations Development Programme (UNDP) Zimbabwe economist, Ethel Bangwayo; the National Competitiveness Commission executive director Phillip Phiri; the group chief executive officer and executive director, First Mutual Holdings Ltd Douglas Hoto; and the Old Mutual Zimbabwe, group CEO Samuel Matsekete.
This diverse panel ensures a comprehensive discussion that considers all angles of the issue.
Informality is a pervasive issue in Zimbabwe, with significant portions of the economy operating outside formal regulatory frameworks. This includes street vendors, informal traders, and businesses that do not comply with tax and labour laws.
While informality provides livelihoods for many Zimbabweans, it also presents substantial challenges:
Tax revenue losses: The informal sector often escapes taxation, leading to significant revenue losses for the Government.
Regulatory evasion: Informal businesses typically do not adhere to regulatory standards, affecting product quality, safety, and worker rights and;
Competition with formal businesses: Informal traders, especially those selling second-hand clothing, create unfair competition for formal retailers like Edgars Stores Ltd, who comply with regulations and taxes.
In response to the rise of informal trading, especially around formal retail establishments, local authorities have employed measures such as blitzes to remove informal traders from shop verandas and public spaces.
These efforts, while aimed at maintaining order and supporting formal businesses, raise critical questions:
Effectiveness: Are blitzes a sustainable solution, or do they merely displace the problem temporarily?;
Impact on livelihoods: How do these measures affect the livelihoods of informal traders who rely on these activities for income?; and
Policy coexistence: Can Government policies and informality co-exist in a way that benefits both formal businesses and informal traders?
The panel discussion will explore innovative strategies and best practices that private sector organisations and policymakers can employ to address informality.
A provocative question that will also be addressed during the discussion is whether informality should be embraced entirely.
This perspective considers recognising the significant economic contributions of the informal sector, including job creation and providing affordable goods and services, understanding the cultural and social dynamics that drive informality and finding ways to harness these strengths within a formalised framework.
Beyond the panel discussion, the 2024 ZNCC Annual Congress offers numerous opportunities for networking and collaboration.
Delegates will have the chance to connect with industry leaders, policymakers, and experts, fostering relationships that can lead to meaningful change and development.
Do not miss out on this critical discussion that promises to shape the future of Zimbabwe’s economy.
Secure your spot at the 2024 ZNCC Annual Congress in Victoria Falls by registering today.
Join us in exploring new perspectives on dealing with informality and contribute to creating a more inclusive, resilient, and prosperous Zimbabwe.
Together, we can unlock the potential of both the formal and informal sectors to drive sustainable economic growth and social development
Bongani Ndlovu