Process of formalization and informalization

Processes of formalization and informalization: Selected cases

The legal definition of informal sector enterprises focuses on the fact that they are not registered and do not, therefore, apply the various registrations which are normally adhered to by formal sector enterprises. It is important to identify the reasons or constraints which prevent such enterprises from registering with the local and/or national government agencies.

The report summarizes the findings and recommendations of the study that describes the analytical and methodological framework (implementation of a sample survey of both registered and non-registered enterprises), the current registration procedures, assesses the findings of the sample survey, and makes a number recommendations for inducing informal sector enterprises to register.