Department for Community Development and Religion (DfCDR) yesterday launched the ‘Southern Regional Community Development Consultation’.
The consultation will include review of the:
- National Informal Economy Policy (NIEP) 2011-2015
- Validation of the Informal Economy Voice Strategy (IEVS) 2018-2022, and the
- Community Development Bill (CDB).
DfCDR Secretary Jerry Ubase, speaking at the launch of the consultation workshop this morning on behalf of the Minister for Youth, Religion and Community Development Wake Goi said, “The Informal Economy Policy 2011-2015 is outdated and needs to be reviewed to address socio-economic needs for the marginalized people in the country in the informal sector.”
Secretary Ubase said the IEP review is the government’s plan to protect families and empower communities as platforms for national growth.
“In line with the vision of the Prime Minister, James Marape to (make) PNG the rich, black Christian country, the policy is to build safe, capable, and productive communities,” said Secretary Ubase.
During the five-day consultation workshop, participants will interact and contribute to the policy review and validation of the voice strategy.
They will also take into account that, the policy must be aimed at uniting and migrating 80 percent of PNG’s population who are actively participating in micro SMEs to connect, benefit, and contribute to the formal economy service delivery mechanism.
According to the National Executive Council (NEC) endorsed Report on the National Audit of the Informal Economy 2019:
- Two billion workers of 61 percent of the global employed population earn their living in the informal economy.
- The share if informal employment ranges from 18.3 percent in developed countries to 67.4 percent in emerging countries ad 89.9 percent in developing countries.
- In PNG, 85 percent of the population is directly or indirectly engaged in the informal sector with K12 billion circulating that is not banked.
Secretary Ubase said, “Imagine what wealth can be generated by creating a path way for these amounts of wealth to be banked and invested and to migrate those who have it in the informal sector to formal sector.”
The consultation aims to ensure:
- Understanding from the National Government to create and provide the environment, resources and capacity to drive the implementation of the policy.
- Clear systems and pathways acre created to enable growth of business.
- Develop a template for local authorities to plan and implement, and
- A national implementation plan is developed at the end of the review process.
Secretary Ubase this consultation is vital for the voiceless population in the informal sector out in the provinces and districts.
“They need to get this policy endorsed so we must make it our business to contribute meaningfully.”
He acknowledged the vital roles played by development partners such as the European Union, UN Women, and the Consultative Implementation & Monitoring Council (CIMC) in the review of the IEP and validation of the voice strategy in collaboration with DfCDR.
EU Delegate Carlos Perez said. “While informal economy is not unknown in other countries, the relevance in PNG where more than 80 percent of the operators in the non-resource economy are part of it. Surprised me a lot. It surprised me even more that there was no comprehensive project on informal economy targeting the review of the key policies in the sector.”
Thus, the willingness for the EU Delegation to support the review of the Informal Economy Policy and the Validation of the Voice Strategy and the future of the informal economy forum.
Perez said addressed the participants of the workshop saying, “…It is an opportunity as well to .. between yourselves and with the government operators and the civil society about best practices in the informal economy sector. About how to support the transition or how to make it more attractive for informal economy operators to move to formal economy operations.”
UN Women Programme Manager, Brenda Andrias said, “Over 60 percent of the participants in the sector (informal) are women.”
She said the work of the informal economy sits within UN Women’s economic empowerment pillar.
UN Women’s key goal under that area is that, women engaged in that sector are empowered to speak up for their rights, are able to access business development opportunities and are able to improve their lives through increased income as well as increased control over that income.
“So that’s why we are very committed in working with the key agencies that are promoting that space and especially agencies that are looking at promoting women’s rights and the rights of members of the community who are vulnerable and marginalized,” said Andrias.
The workshop concludes tomorrow, Wednesday 8 December 2021.