Centre rallies informal sector for inclusive growth

The informal sector of Nigerian economy must rise above unfair competition, low productivity, human rights abuses, and legal and policy inconsistency to boost their productivity through efficient organisation and coordination.

The Minister of Labour and Employment, Dr. Chris Ngige, stated this at the fourth national productivity summit organised by the National Productivity Centre (NPC) in Abuja. He said the fear of formalisation should not hold players in the informal sector from achieving their full potential.

He explained that the focus of the summit was to articulate a series of issues around the activities of individuals and groups in small workplaces.

Ngige attributed the growth of the informal economy over the last two decades to the country’s economic context, decreasing levels of market regulation, weak policy frameworks and socio-demographic drivers.

The Minister commended the NPC for choosing ‘Enhancing the Productivity of the Informal Sector in Nigeria for Increased Competitiveness’, as the theme of the summit.

“The informal sector has always been strategic in our economic system because of their flexibility in operations, efficiency, and employment creation ratio which has made the sector a major driver of the economy.

“The sector provides jobs for the vast majority of our populace. According to the International Labour Organisation the informal sector employs over 80 per cent of the Nigerian working population. This is why this summit has been dedicated to it,” he stated.

In his intervention, the Director General of NPC, Dr. Kashim Akor, said the centre chose the theme because of the importance of the informal sector to the economic survival of Nigeria.

“The reason is not far-fetched as the importance of the informal sector to our economy has been outlined enough from job creation to contribute to the gross domestic product (GDP). I am hopeful and certain that the knowledge that will be co-created, shared and gathered at this summit will guide and direct the informal sector in their business decisions for many years,” he said.