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Molline Gagare Business Reporter—
THE wholesale, retail and motor repair industries are the largest employers contributing 61 percent of job opportunities in the informal sector countrywide compared to 13 percent by the manufacturing industry, a survey has shown. The informal economy, popularly known as the Small to Medium Enterprises (SMEs), in which women are dominant players, contributes about 14 percent to the employed population.

According to the Zimbabwe National Statistics Agency (ZNSA) 2014 labour force survey report, the distribution of employees according to sectors indicates the largest number of employees were in the wholesale and retail categories.

“The largest number of employees was in the wholesale and retail trade, repair of motor vehicles and motor cycles (61.0 percent) followed by those in the manufacturing industry at 13 percent,” read the survey.

There are more females than males in accommodation and service activities, read the report.

Following the collapse of the predominately foreign-owned manufacturing firms in the last decade, compounded by the imposition of illegal sanctions on Zimbabwe by the West and its allies, the SMEs sector proved to be more resilient.

Economic experts say SMEs are the fastest growing economic enterprises generating more than $5 billion annually, the bulk of which is, however, circulating outside the banking system.

Places of operation presented in the report indicated that “28 percent of the population in the informal sector operated in their own homes, 23 percent from no fixed location, 19 percent on footpaths, streets or open spaces, 18 percent in permanent buildings, seven percent at market places and four percent in someone else’s home.”

“More males than females operated in someone else’s home, in permanent buildings and at no fixed location while females dominated operations in their homes, other places, at a market place and on footpaths, streets or open spaces,” read the report.

Employment by the industrial sector shows that the population in informal employment is “predominantly in agriculture, forestry and fishing at 70 percent”.

The report said that of the 1.5 million paid employees countrywide, around 1.4 million were in informal employment.

The report also says 37 percent of the employed population including those in the formal sector received income of between $1-$100 followed by those who received between $101-$200. Three percent received income of $1,001 and above.

In 2014, the percentage of employees in informal employment who received cash income of $100 or below was 38 percent when compared to 84 percent in 2011, implying that persons in informal employment are now receiving improved income.