Changing Attitudes Towards Informality
The economy that revolves around peoples social activities is called the ‘leisure economy’. While the leisure economy is a term used for a city’s high street that is lined with bars, cafes, and restaurants and becomes a leisure destination, a leisure economy that has become its own thriving economy can be found in informal sectors. “A range of secondary businesses form part of the township leisure economy as well, restaurants; street food vendors; entertainers and musicians; car guards; and hair salons for example. Yet, while leisure economies in inner cities have been viewed as having potentially transformative possibilities, leisure economies (especially alcohol-related activities) in townships have been viewed as leading to a range of social ills, and thus have been restricted through particular policy approaches and legislation. The township leisure economy is not seen as having the same potential to economically, socially or spatially transform township high-streets as inner city leisure economies are seen to have.” This according to Caitlin Tonkin, a researcher for the Sustainable Livelihoods Foundation, which have just completed research on the transformative possibilities of the township leisure economy, which was undertaken in Eveline Street in Katutura, Windhoek.
“Eveline Street was the first street in Katutura to be classified as a business corridor. This change in land use has encouraged entrepreneurs to invest in businesses, enabled leisure oriented enterprises to obtain licences and formalise, and attracted new enterprises to the high street.”
“The greater range of businesses now operating along Eveline Street indicates not only an increase in economic activity, but a diversification and maturation of the street’s economy.”
99FM’s MYD Smart spoke to Caitlin to find out more about what transformative possibilities are held in the leisure economy.
“The central aim of our research was to understand the scope, scale and interconnections between micro-enterprises along Eveline Street, and the influence of the high street in economic ordering and business opportunities.” Explains Caitlin. Collecting data, the team from the Sustainable Livelihoods Foundation, learnt about business offerings as well as the business linkages to other enterprises along Eveline Street.
“Our research uncovered both economic growth and economic diversification along Eveline Street. Between 2008 and 2016, the number of businesses along Eveline Street has doubled, from 133 to 270 businesses, indicating a clear growth of economic activity along the street. Part of this has been an increase in the number of bars, from 61 to 80 bars, yet as a proportion of all enterprises on the street, bars decreased from 45% to 29%.”
When asked what this research uncovered, Caitlin explains, “Our research uncovered both economic growth and economic diversification along Eveline Street. Between 2008 and 2016, the number of businesses along Eveline Street has doubled, from 133 to 270 businesses, indicating a clear growth of economic activity along the street. Part of this has been an increase in the number of bars, from 61 to 80 bars, yet as a proportion of all enterprises on the street, bars decreased from 45% to 29%.”
“Hair salons, house shops, print shops, food takeaways, and vehicle services, many not present on Eveline Street in 2008, now take up a 37% share of the overall economy of the street. The greater range of businesses now operating along Eveline Street indicates not only an increase in economic activity, but a diversification and maturation of the street’s economy.”
“Pervasive and negative perceptions of the informal leisure economy becomes part of the rationale for a social and political system which supports systemic economic exclusion. Changing attitudes towards informality can be part of changing this system.”
This research will now be used as a model to inform development policies. Caitlin explains further, “In addition to using this research to better inform economic development policies, our hope is that this research will stimulate a broader societal re-imagining of the transformative potential of the leisure economy in township contexts. Pervasive and negative perceptions of the informal leisure economy (and of informality more broadly) becomes part of the rationale for a social and political system which supports systemic economic exclusion. Changing attitudes towards informality can be part of changing this system.”
“The informal economy is thus a hugely important space for employment and work. A more development-driven and supportive approach to the informal economy could result in its overall growth.”
“The informal economy is thus a hugely important space for employment and work. A more development-driven and supportive approach to the informal economy could result in its overall growth. More than that, a development-driven approach to the informal economy could improve the quality of jobs and working conditions in that economy, and could facilitate formalisation of informal micro-enterprises. This would bring about greater opportunity, security, and sustainability for people whose livelihoods depend on the informal economy.”
The project and the full details of the research uncovered about the booming leisure economy will be on exhibition on the 4th of April 2017 in the Department of Architecture and Spatial Planning, at the Namibian University of Science and Technology. It is free to attend and will be open from 1pm to 6pm. Whether you are an urban planner, an architectural designer, a business owner, a policy maker or an interested and informed citizen, the exhibition tells the story of how economic activities in Eveline Street have both expanded and diversified since 2008 and how through creating an enabling policy framework, transformations occur in economic, social and spatial fields that can stimulate inclusive economic growth.
If you are unable to make it to view the exhibition and speak to the researchers about their findings, you can download the Sustainable Livelihoods Foundation report on the research on Eveline Street through their website by clicking here.
Written by Kirsty Watermeyer