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The urban informal economy refers to economic activities that operate outside the formal regulatory, legal, and institutional framework of the organised economy. It includes small-scale enterprises, street vending, construction work, domestic services, waste picking, home-based production, casual labour, transport services, repair work and various forms of self-employment. Informal workers generally operate without formal employment contracts, regular wages, job security or adequate legal protection. The urban informal economy is particularly significant in developing countries, where rapid urbanisation and limited formal employment opportunities push large sections of the population towards informal livelihoods. The informal economy makes a substantial contribution to urban employment generation. Cities attract migrants and workers because they provide diverse economic opportunities, but the formal sector often cannot absorb the growing labour force. The informal economy therefore acts as an important source ______ ___ ________ __________ ______ _________ ____ ____ _______ ____ ___.
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