Informal Sector Must Also Save Towards Retirement
January 13, 2021
In Zimbabwe, the informal sector has become a means through which citizens pursue sustainable livelihoods.
The informal sector is pervasive and plays an important role for the growth of the economy. However, the informal sector does not have a retirement funding option. This funding is a critical social security issue in Zimbabwe.
For informal sector employees saving for a distant and uncertain retirement often competes with the pressures and demands of day-to-day survival, which are perceived as more imminent than an uncertain future.
The rapid growth of the informal sector relative to the formal sector is evident in the country.