DVA4805
Assignment 3 2025
Unique #:208522
Due Date: 23 July 2025
Detailed solutions, explanations, workings
and references.
+27 81 278 3372
, CHALLENGES FACED BY WOMEN IN THE INFORMAL SECTOR IN SOWETO
AND POLICY GUIDELINES FOR EMPOWERMENT
1. INTRODUCTION
The informal economy plays a major role in supporting households and communities
in South Africa, especially for women living in townships like Soweto. Many women
here work as informal traders, hairdressers, domestic workers, food vendors, and
home-based care workers. Although this work helps them survive, it also brings
serious challenges. This essay presents findings from interviews with five women
working in the informal sector in Soweto. It groups the challenges they raised into
key themes and provides policy guidelines to help improve their working conditions
and empower them economically.
2. Methodology
Five women in Soweto who work in different informal jobs were interviewed. To
protect their privacy, their names and exact businesses are not revealed. The
interviews were semi-structured and focused on the difficulties they face, their coping
strategies, and what support they believe would help them most. The findings were
then grouped into themes that commonly appeared across the interviews.
3. KEY THEMES AND CHALLENGES
3.1 Lack of Access to Finance
All five women mentioned that getting capital to start or grow their businesses was
extremely difficult. They do not qualify for formal bank loans because they do not
have payslips, business registration documents, or collateral. As a result, they
depend on borrowing from informal lenders at high interest rates.
This problem is common among informal workers across Africa. According to Bonnet
(2019), many women cannot access affordable financial services due to their
unregistered businesses and low earnings.
3.2 Poor Working Conditions
Varsity Cube 2025 +27 81 278 3372
Assignment 3 2025
Unique #:208522
Due Date: 23 July 2025
Detailed solutions, explanations, workings
and references.
+27 81 278 3372
, CHALLENGES FACED BY WOMEN IN THE INFORMAL SECTOR IN SOWETO
AND POLICY GUIDELINES FOR EMPOWERMENT
1. INTRODUCTION
The informal economy plays a major role in supporting households and communities
in South Africa, especially for women living in townships like Soweto. Many women
here work as informal traders, hairdressers, domestic workers, food vendors, and
home-based care workers. Although this work helps them survive, it also brings
serious challenges. This essay presents findings from interviews with five women
working in the informal sector in Soweto. It groups the challenges they raised into
key themes and provides policy guidelines to help improve their working conditions
and empower them economically.
2. Methodology
Five women in Soweto who work in different informal jobs were interviewed. To
protect their privacy, their names and exact businesses are not revealed. The
interviews were semi-structured and focused on the difficulties they face, their coping
strategies, and what support they believe would help them most. The findings were
then grouped into themes that commonly appeared across the interviews.
3. KEY THEMES AND CHALLENGES
3.1 Lack of Access to Finance
All five women mentioned that getting capital to start or grow their businesses was
extremely difficult. They do not qualify for formal bank loans because they do not
have payslips, business registration documents, or collateral. As a result, they
depend on borrowing from informal lenders at high interest rates.
This problem is common among informal workers across Africa. According to Bonnet
(2019), many women cannot access affordable financial services due to their
unregistered businesses and low earnings.
3.2 Poor Working Conditions
Varsity Cube 2025 +27 81 278 3372
