Women, youths urged to formalise businesses to unlock opportunities

YOUTH and women entrepreneurs in Zimbabwe have been encouraged to formalise their businesses to fully benefit from opportunities presented by the African Continental Free Trade Area (AfCFTA).

This call was made during a Confederation of Zimbabwe Industries (CZI) workshop in Bulawayo, which focused on the AfCFTA Protocol on Women and Youth in Trade.

CONFEDERATION of Zimbabwe Industries (CZI)

Speaking during a panel discussion, the Ministry of Youth Empowerment, Development and Vocational Training administrative officer, Ms Ruth Sibanda, highlighted the challenges faced by youth entrepreneurs who predominantly operate in the informal sector.

She noted that for many, running informal businesses is a survival mechanism, with little focus on long-term growth or formalisation.

“Young people have grown up in abnormal circumstances, where informal business is seen as a way of life. Many believe they don’t owe taxes, require licences, or need to bank their money,” said Ms Sibanda.

She said formalising businesses opens doors to platforms like AfCFTA, which provide entrepreneurs with expanded trade opportunities and access to regional markets.

“To benefit from such platforms, you need to be formally registered, you should be aware of rules and regulations that surround the doing of business and trading,” said Ms Sibanda.

“Young people have been born in an abnormal situation, whereby doing business is in a way just a survival tactic where they say it’s my way of life, ‘I don’t owe anyone tax or pay for whatever licence and I’m not supposed to bank any money.”

AfCFTA, an agreement endorsed by 54 African nations, aims to create the world’s largest free trade area by removing barriers to trade, facilitating market access and fostering economic integration. For entrepreneurs to capitalise on its benefits, formal business structures and compliance with regulations are essential.

Trade Law Centre for Southern Africa (Tralac) executive director, Ms Trudi Hartzenberg, unpacked the AfCFTA Protocol on Women and Youth in Trade during the workshop. She stressed the importance of addressing systemic challenges such as limited access to finance, mentorship and capacity-building opportunities to ensure inclusive participation in regional trade.

The workshop identified key obstacles faced by youth and women entrepreneurs, including a lack of funding, inadequate knowledge of trade regulations and insufficient business mentorship.

Participants called for increased access to resources and capacity-building programs to enable these groups to take full advantage of trade agreements like AfCFTA.

In his opening remarks, CZI former vice president, Mr Ignacious Mavhuga said the AfCFTA presents unprecedented opportunities for Africa to unlock its economic potential.

By creating the largest free trade area in the world, he said it aims to remove barriers, connect markets and accelerate growth across our nations.

Youths and women follow proceedings during a Confederation of Zimbabwe Industries (CZI) workshop focusing on the AfCFTA Protocol on Women and Youth in Trade in Bulawayo on Friday

However, Mr Mavhunga said for this vision to become a reality, no one must be left behind, saying that women and youth, who are the backbone of our economies, must be at the centre of this integration journey.
He further emphasised that women and youth must be at the forefront of this journey to achieve inclusive economic growth.

“Women, as entrepreneurs, workers and innovators, contribute immensely to Africa’s growth. Similarly, our youth, Africa’s greatest asset, often lack the tools, networks and opportunities to participate in the economic value chain,” said Mr Mavhunga.
He described the AfCFTA Protocol on Women and Youth in Trade as a “game-changer” that provides a framework for inclusive trade practices, enhances export capacity and creates equitable pathways for participation.

The workshop brought together representatives from the Ministry of Industry and Commerce, Ministry of Women Affairs, ZimTrade and other organisations advocating for youth and women entrepreneurs. These stakeholders pledged to support policies and initiatives that address challenges faced by informal businesses, enabling them to transition to formal structures and leverage opportunities under AfCFTA. —chroncile