Challenges

Informality remains a significant barrier to inclusive development in Africa, affecting the majority of workers and enterprises and undermining access to decent work, social protection, and economic resilience. The transition to formality is complex and context-specific, requiring integrated policy responses and strong institutional capacity. Many countries face challenges in implementing ILO Recommendation No. 204 on formalization due to limited resources, weak coordination among stakeholders, and lack of tailored policy tools. This good practice addresses these challenges through a regional initiative fostering South-South and Triangular Cooperation (SSTC) to promote mutual learning, peer exchange, and co-development of practical tools among African countries. It enhances institutional capacities and facilitates the development of national formalization strategies rooted in evidence and participatory processes, ultimately advancing the achievement of SDG 8 and related goals.

Toward a Solution

The SSTC Africa 1 initiative aims to promote the transition to formality by enabling peer-to-peer learning and the co-construction of knowledge among African countries. In alignment with ILO Recommendation No. 204, the project seeks to develop integrated national strategies on formalization while fostering South-South cooperation to respond to shared challenges.

The approach includes mutual learning through study visits, technical exchanges, national dialogues, and regional knowledge-sharing workshops. Each participating country leads specific thematic areas based on national priorities. For example, Côte d’Ivoire focuses on social protection for informal workers; Cabo Verde on extending labour inspection; The Gambia on skills development; and Rwanda on digital registration of informal enterprises. This thematic division promotes ownership and leverages existing national experiences to generate regionally relevant solutions.

The participatory methodology is central. Each country formed a national working group involving ministries of labour, social protection institutions, workers’ and employers’ organizations, and other stakeholders. These groups collaborated on diagnostic tools, strategy development, and peer exchanges, ensuring that solutions are context-specific and co-owned.

The initiative exemplifies SSTC through structured exchanges. Countries hosted delegations from peers to present local practices and innovations. For instance, Rwanda showcased its digital formalization mechanisms to peers during a field visit. Knowledge products such as policy briefs and videos were co-developed and disseminated in English, French, and Portuguese, ensuring accessibility.

Key outcomes include:

• Four national diagnostic reports on informality completed.
• Development or update of national formalization strategies aligned with R204.
• Enhanced capacity of over 150 stakeholders through regional workshops and training.
• Policy influence including the elaboration of an inter-ministerial coordination mechanism on formalization in Cabo Verde and The Gambia.
• Cross-country uptake of practices such as Rwanda’s digital registration system.

The practice stands out for its innovative SSTC model: rather than a one-directional transfer, it facilitates reciprocal learning tailored to African contexts. It enhances competitiveness by strengthening national strategies on informality and promoting inclusive growth. The multilingual and modular design of tools enables flexible use across diverse settings.

The sustainability of the initiative is ensured through national institutional anchorage and ongoing ILO support. The creation of national formalization task forces and their integration into policy processes contributes to long-term impact. Furthermore, the initiative catalyzed additional bilateral exchanges, laying the groundwork for a more permanent regional platform.

This practice is replicable in other regions, particularly where informal employment is prevalent. Conditions for replication include political will, participatory governance, and access to technical support. Lessons learned highlight the importance of tailoring solutions, building trust among stakeholders, and investing in mutual learning rather than prescriptive models.

Peer learning exchanges enabled a clearer understanding of practical mechanisms to extend social protection to informal workers. The success of the initiative relied on adapting existing models to local contexts and ensuring active participation of all stakeholders. The use of digital platforms and regional linkages enhanced the continuity and long-term impact of cooperation.