IDEAS home Printed from
   My bibliography  Save this paper

The informal Economy as an engine for poverty reduction and development in Egypt


  • Attia, Sayed Moawad


The purpose of this paper is handling the informal sector in Egypt and the role it can play in accelerating the development process and poverty reduction. The structure of the paper starts with an introduction, and then gives a definition of development and its objectives in order to give a comprehensive ground for what will be discussed under the informal sector section and poverty section, as at the end the paper links development, informal sector with poverty reduction. Furthermore, the paper discusses situation of the informal sector in Egypt and the role of government in issuing the laws that may pave the way for creating a more conducive business environment for the Micro and Small Enterprises (MSEs) which constitute the traditional form of informal enterprises. In addition, the paper explains formalization of informal economy, showing the pros and cons of both formal informal sectors, most importantly its shows a trade off between the formality and informality. The paper closes with providing a policy recommendations and finally conclusion.

Suggested Citation

  • Attia, Sayed Moawad, 2009. "The informal Economy as an engine for poverty reduction and development in Egypt," MPRA Paper 13034, University Library of Munich, Germany, revised 27 Jan 2009.
  • Handle: RePEc:pra:mprapa:13034

    Download full text from publisher

    File URL:
    File Function: original version
    Download Restriction: no


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. AfDB AfDB, 2016. "North Africa - Working paper - Addressing informality in Egypt," Working Paper Series 2327, African Development Bank.
    2. Hanan Nazier & Racha Ramadan, 2015. "Informality and Poverty: A Causality Dilemma with Application to Egypt," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 5(4), pages 1-4.
    3. Richard Woodward & Mehdi Safavi, 2012. "Final Report on Private Sector Development in the MED-11 Region," CASE Network Reports 0110, CASE-Center for Social and Economic Research.
    4. Rania Roushdy & May Gadallah, 2011. "Labor Market Adjustment during the World Financial Crisis: Evidence from Egypt," Working Papers 643, Economic Research Forum, revised 10 Jan 2011.

    More about this item


    Informal Economy; Formalisation; Economic Development; Poverty;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:13034. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter) or (Rebekah McClure). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.