Informal Markets Struggle
South Africa’s informal markets are coming under growing pressure after attacks targeting migrants drove thousands of foreign workers to leave, leading to labour shortages and the closure of small businesses.
Footage shows traders hard at work across Johannesburg on Friday, serving customers, upholsterers repairing furniture and shopkeepers working outside their premises.
Shoppers are later seen browsing market stalls as traffic moves through the city’s bustling commercial streets.
Economic Impact Grows
Economists warn these scenes could become harder to sustain, and the departure of foreign nationals disrupts industries that rely heavily on migrant labour, including retail, construction, transport, hospitality and agriculture.
Chief Economist at Efficient Group, Dawie Roodt, says migrants make a significant contribution to South Africa’s economy, both as workers and as entrepreneurs.
“There are a lot of studies that suggest that the contribution of immigrants to the South African economy is much, much more than what they are actually taking out of the economy,” Roodt said.
“With many of them leaving South Africa because of reasons, let’s call it xenophobia against immigrants in South Africa, South Africa will be losing that economic energy, and that will hurt the South African economy, especially the informal part of the South African economy,” he added.
The International Labour Organisation has previously found that higher migrant participation in South Africa’s labour market coincided with stronger employment opportunities for South African-born workers.
“I am afraid that South Africa and the South African economy are likely to pay a significant and quite a dear price for what has recently happened to immigrants in the country,” Roodt explained.
Government Responds
It comes after weeks of anti-migrant protests and attacks, with campaigners blaming foreign nationals for crime and unemployment.
President Cyril Ramaphosa’s government has condemned vigilante action and pledged tougher border and immigration enforcement.
Police say hundreds have been arrested over public violence, intimidation and unauthorised immigration checks.
Article by Viory
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