Report of the national workshop on creating an enabling environment for the informal sector in Ethiopia

Abstract

The workshop aimed to address the escalating unemployment crisis in Ethiopia, exacerbated by economic reforms, structural adjustment programs, and the limited capacity of the formal sector to generate employment. The informal sector, though crucial for income and employment generation, faces significant constraints, including limited access to credit, skills, markets, and institutional support. The workshop sought to recommend policy measures to enhance the productivity of the informal sector, facilitate its transition into micro- and small-scale enterprises, and integrate it with the formal economy. Key themes included the role of NGOs, informal financial institutions, and institutional support for the sector.