Arbeitspapier

The impact of COVID-19 on urban informal workers in Maputo

Informal self-employed traders in developing countries are vulnerable to shocks as they often lack access to social insurance or formal finance. This study investigates the impact of the COVID-19 pandemic on these urban traders in the capital of Mozambique, Maputo. Drawing on longitudinal phone survey data over six months, we find they experienced significant negative shocks to earnings, leading to a reduction in savings as well as worsening food security and assets. Individuals simultaneously affected by a municipal policy to remove informal traders from a central market were hit particularly hard as they lost their clients and market stalls. We simulate that a cash transfer equivalent to the government's proposed COVID-19 response would have significantly buffered these shocks. The findings point to the need for a more shock-responsive social protection system, easy access to liquidity and provision of market infrastructure for informal traders.

ISBN
978-92-9267-306-2
Language
Englisch

Bibliographic citation
Series: WIDER Working Paper ; No. 2022/173

Classification
Wirtschaft
Measurement and Analysis of Poverty
Informal Labor Markets
Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
Subject
COVID-19
informal
urban traders
Mozambique

Event
Geistige Schöpfung
(who)
Anaç, Nilifer
Egger, Eva-Maria
Jones, Sam
Santos, Ricardo
Warren-Rodriguez, Alex
Event
Veröffentlichung
(who)
The United Nations University World Institute for Development Economics Research (UNU-WIDER)
(where)
Helsinki
(when)
2022

DOI
doi:10.35188/UNU-WIDER/2022/306-2
Handle
Last update
10.03.2025, 11:47 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Arbeitspapier

Associated

  • Anaç, Nilifer
  • Egger, Eva-Maria
  • Jones, Sam
  • Santos, Ricardo
  • Warren-Rodriguez, Alex
  • The United Nations University World Institute for Development Economics Research (UNU-WIDER)

Time of origin

  • 2022

Other Objects (12)