17 Dec 2025

Parliament has learnt that the informal sector enjoys benefits that were initially reserved for formal sector such as participating in government tenders.
The informal sector also receives support from government through simplified regulations, reduction of compliance costs, improved business processes using ICT and strengthened access to technology, finance and markets, Assistant Minister of Trade and Entrepreneurship, Mr Baratiwa Mathoothe has said.
He said in order to minimise regulation of the informal sector, the Ministry of Trade and Entrepreneurship had over the years collaborated with Ministry of Local Government and Traditional Affairs to facilitate the sector.
In that regard, he said all licensing of businesses was carried out at Local Authorities, including Small Medium and Micro Enterprises (SMMEs) that were exempted from licensing requirements which were registered according to guidelines that were developed in 2013 and amended in 2017, to cater for businesses operating from residential areas.
Minister Mathoothe also indicated that local government ministry was also developing Model Bye Laws for businesses that could not be regulated through the Trade Act.
Parliament also learnt that the Minister of Trade and Entrepreneurship did not have recorded cases of harassment or extortion of traders by law enforcement officers and that such matters fell within structures of local authorities and relevant policing structures.
Selebi Phikwe East MP, Mr Kgoberego Nkawana had asked the minister to state the current policy on small scale trading licenses, and what changes were being made to support small scale traders.
He also wanted to know what the ministry was doing to address the issue of harassment and extortion of small scale traders by law enforcement officers and how many of those were issues with trading licences in the last 12 months. ENDS