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Regulating Roadside Businesses: A Balancing Act

N

Nyakundi Report

Newsroom 2 min read

This archive report was first published on 18 November 2019.

On November 14, 2019, a photo of a young man washing a car by the roadside sparked a heated debate on social media, with Raila Junior Odinga questioning why roadside car washing trade is not illegal.

According to Odinga, county governments should have bylaws that zone safe car washing bays and provide them with relevant safety standards.

However, his tweet attracted anger and fury from those who disagreed, claiming that he was speaking from a point of privilege and couldn't relate with the ordinary citizen's day-to-day struggle.

Despite the personal attacks, Odinga's argument highlighted a crucial point: informal businesses, such as roadside car washing services, are a manifestation of a structural problem in urban economies.

These businesses often operate in public spaces, indicating poor urban planning or a lack of adjustment in policies to accommodate the growing number of informal business people.

Street/roadside vending is a feature in rapidly expanding urban informal economies, with Kenya's informal economy employing an estimated 70% of the working population.

Despite existing bylaws that govern against setting up open-air businesses along roads, roadside car washing services have proliferated in Nairobi, with politicians even sponsoring youth self-help groups to establish these services.

However, the rise of informal business units also signals a search for economic opportunity and income, especially in an economy where the formal sector is contracting.

Urban planners should be proactive in providing alternative zones for these businesses, as they are a source of daily livelihood for many and a steppingstone towards better opportunities.

The Nairobi county government's proposal to license all informal vendors at an affordable rate and provide formal space is a good initiative, but it needs further fine-tuning.

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