An Evaluation of the Role of Street Vendors in Urban Economic Development in Minna Local Government Area, Niger State

An Evaluation of the Role of Street Vendors in Urban Economic Development in Minna Local Government Area, Niger State

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Background of the Study

Street vending is a significant component of the informal economy in many developing countries. It serves as a primary source of livelihood for millions of urban dwellers, particularly in areas where formal employment opportunities are scarce. In Minna Local Government Area, Niger State, street vendors play a crucial role in economic development by providing affordable goods and services, creating employment, and contributing to local revenue generation. The informal nature of street vending allows for flexibility and economic inclusion, particularly for low-income earners and marginalized groups, including women and youth.

Urban economic development is often analyzed through the lens of formal economic structures, but the contributions of informal actors like street vendors cannot be overlooked. Studies have shown that in many Nigerian cities, informal street vendors supply essential commodities such as food, clothing, and household items at competitive prices, filling gaps left by formal markets (Abubakar & Ibrahim, 2023). Their presence also stimulates economic activity in adjacent sectors, such as transportation and wholesale trade. However, street vendors face significant challenges, including regulatory restrictions, harassment by authorities, lack of access to finance, and inadequate infrastructure (Ogunbiyi & Adewale, 2024). Despite these challenges, they continue to be a vital part of the urban economic fabric.

Urban planners and policymakers in Nigeria have struggled to integrate street vendors into formal economic and city planning frameworks. While some cities have attempted to relocate vendors into designated markets, these efforts often fail due to poor implementation, high relocation costs, and lack of customer accessibility. A more sustainable approach requires understanding the economic benefits street vendors bring to urban development and crafting inclusive policies that balance regulation with economic empowerment (Okeke & Yusuf, 2025). This study evaluates the contributions of street vendors in Minna, identifying their impact on urban economic development and exploring policy options for better integration into the local economy.

1.2 Statement of the Problem

Despite their contributions to the urban economy, street vendors in Minna face numerous obstacles that threaten their survival and economic impact. Local authorities often view them as a nuisance rather than contributors to economic development, leading to constant evictions and harassment. Additionally, they lack formal recognition, access to credit facilities, and legal protections that could enhance their business sustainability (Usman & Ahmed, 2023). The lack of clear policies on street vending results in conflicting interests between urban planners and informal traders, leading to instability in the sector. Given the increasing urbanization and rising unemployment rates, there is a need to assess the role of street vendors in urban economic development and propose policy recommendations to maximize their contributions.

1.3 Objectives of the Study

1. To evaluate the contribution of street vendors to urban economic development in Minna Local Government Area.

2. To identify the challenges street vendors face in Minna.

3. To assess the effectiveness of existing policies in regulating and supporting street vending in Minna.

1.4 Research Questions

1. How do street vendors contribute to urban economic development in Minna?

2. What challenges do street vendors in Minna face?

3. How effective are existing policies in regulating and supporting street vendors in Minna?

1.5 Research Hypotheses

1. Street vendors significantly contribute to urban economic development in Minna Local Government Area.

2. Street vendors in Minna face substantial challenges that hinder their business growth and stability.

3. Existing policies are inadequate in regulating and supporting street vending in Minna.

1.6 Significance of the Study

This study is significant in highlighting the economic contributions of street vendors and the need for inclusive urban economic policies. By assessing their role in employment creation, revenue generation, and service provision, the study provides valuable insights for policymakers, urban planners, and economic development stakeholders. Understanding the challenges vendors face will help shape policies that promote financial inclusion, reduce harassment, and improve their working conditions. Additionally, this research contributes to broader discussions on the informal economy, sustainable urban development, and economic resilience in Nigeria.

1.7 Scope and Limitations of the Study

This study is limited to Minna Local Government Area, Niger State, focusing on street vendors and their contributions to urban economic development. It examines their economic impact, challenges, and regulatory environment. The study does not extend to other forms of informal trade or street vending activities outside Minna. Limitations may include difficulties in obtaining accurate data due to the informal nature of the trade.

1.8 Operational Definition of Terms

• Street Vendors: Individuals who sell goods or services in public spaces, often without permanent structures.

• Urban Economic Development: The growth and improvement of economic activities within urban areas, contributing to employment and revenue generation.

• Informal Economy: Economic activities that operate outside formal government regulations, often characterized by self-employment and small-scale business operations.

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