-- Commerce Ministry inaugurates Petty Trade Registration Center; says registrations are free until December 31, 2024
Minister of Commerce and Industry Amin Modad has officially opened a new Petty Trade Registration Center, underscoring the importance of the informal sector in Liberia's economy.
The informal sector, primarily composed of domestically owned small and medium enterprises (SMEs), accounts for 80-85% of the country's employment, playing a crucial role in generating sustainable income for the poor and vulnerable.
A 2010 report by the UNDP highlighted that almost half of Liberia's workforce outside agriculture was employed in the informal sector, with a significant number being women.
More recently, a UNDP-led assessment on the socio-economic impact of COVID-19 found that the pandemic has severely affected self-employed service workers, increasing poverty among vulnerable populations.
Minister Modad noted that economic challenges and the health crisis have driven many, including youth and women, to rely on informal businesses for their livelihood.
These businesses, mainly located in Monrovia and other county capitals, are operated by self-employed individuals and small business owners.
The Boakai Administration's ARREST Agenda prioritizes the informal sector, recognizing its potential if adequately supported. Minister Modad expressed gratitude to Mr. Louis Kuukpen and the UNDP Liberia team for their financial support, and commended the technical teams from both UNDP and MOCI for their exceptional efforts.
Minister Modad also thanked Mr. Kuukpen for extending the Livelihood Project for an additional five years, starting from 2021. He assured that the government would monitor the project closely to ensure its beneficiaries positively impact the economy.
He praised Mr. Charles Konah and the National Petty Trade Union for their efforts since 2009 in representing over 40,000 petty traders across 13 counties under the Federation of Petty Traders and Informal Workers Union of Liberia (FEPTIWUL).
The Ministry plans to collaborate with city corporations to organize petty traders, facilitating their transition to formal businesses. Minister Modad also acknowledged the support of the Liberia Revenue Authority (LRA), the Liberian Business Association (LIBA), BSC Monrovia, and other partners in enhancing the sector.
From now until December 31, 2024, registrations at the new center will be free. Starting January 1, 2024, registration fees will be required, payable to the LRA based on the trader's category.
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This initiative aims to create a comprehensive database of the sector, improving its integration into the formal economy and increasing government revenue.
The Petty Trade Registration Center is a significant milestone under President Joseph N. Boakai's leadership, supporting small business development and transitioning thousands of petty traders from the informal to the formal economy.
This sector provides vital jobs and economic stability for women, youth, and people with disabilities.
Minister Modad urged government partners to adopt a consolidated approach to support the informal sector, reinforcing its essential role in Liberia's economic development.
The opening of the center, which took place on Tuesday, was graced by Mr. Louis Kuukpen, Resident Representative of UNDP; Bashelu Kromah, Assistant Commissioner of the Micro and Small Tax Division at LRA; Patience B. Randall, Director General of Liberia Business Registry; Charles Konah, President of the Federation of Petty Traders and Informal Worker Union of Liberia; James Strother, President of the Liberia Business Association; and William Dennis, CEO of the Monrovia Business Startup Center.
