Formalization of informal trade in Africa: trends, experiences and socio-economic impact
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Africa’s commercial land scape is characterized by a rapidly expanding informal cross border trade (ICBT) in various goods and services. ICBT is an important source of economic growth and livelihood to the continent’s burgeoning population. Yet ICBT receives only little policy attention and is often shunned by various governments due to its demerits such as loss of tax revenue. Leveraging formalization best practices could facilitate realization of the full potential of the businesses involved i n ICBT in Africa.