R26m centre boost for eMaXesibeni informal traders, town’s economy

A R26.5m infrastructure project that will benefit 150 informal traders was officially launched at eMaXesibeni on Friday.

Finance, economic development, environmental affairs and tourism MEC Mlungisi Mvoko said 84 informal traders had already been allocated trading space at the new eMaXesibeni Hawkers Centre.

It includes 24 formal lock-up units, 36 semi-formal stands, 84 semi-informal spaces, a vehicle repair facility, car wash facility, ablutions, a guard house, as well as sanitation, water and electrical supply for the facilities.

“The informal trade infrastructure is meant to promote economic and social benefits and to provide work opportunities for the community of eMaXesibeni.

“This is being achieved by providing dedicated and permanent infrastructure for informal traders and small businesses to conduct their business activities in a clean and safe environment,” Mvoko said.

“We appointed the Eastern Cape Development Corporation [ECDC], which is the infrastructure delivery arm of the government, to implement the project on behalf of the department of economic development, environmental affairs and tourism for the benefit of the Umzimvubu Local Municipality.

“I am delighted that during the construction phase of this infrastructure, six local small businesses received contracts worth R2.4m for brickwork, plastering, paving and fencing to boost local economic development.

“A total of 57 jobs [including 23 youth and 30 women] were created during the construction.

“Materials such as sabhunga [stones] and sand worth R1m were also sourced from here.”

Mvoko said the facility would be owned and managed by the Umzimvubu Local Municipality.

“I am confident government interventions such as this will energise local economies, especially those in rural and township localities.

“The intention is to create sustainable jobs and livelihoods, improved revenue generation as well as the alleviation of poverty in our communities,” Mvoko said.

The ECDC executive manager for enterprise finance and business support, Darwin Nkonki, said the project received initial funding of R2m from the provincial treasury in the 2017/2018 and 2018/2019 financial years, and an additional R24.4m from the Provincial Economic Stimulus Fund.

The Umzimvubu municipality also contributed R1m towards the completion of the project.

“The informal traders’ infrastructure will go a long way in addressing infrastructural challenges,” Nkonki said.

“The provision of this economic infrastructure is an important mechanism to stimulate the economic potential of informal traders.

“This is because we know the informal economy is one of the main pillars of economic growth in towns such as eMaXesibeni. 

“This facility therefore aims to enhance economic and social benefits, while also creating job opportunities for the local community.

“The dedicated and permanent infrastructure will also allow the informal traders to operate in a hygienic and secure environment.

“The facility can accommodate up to 150 informal traders, thereby contributing significantly to the town’s informal economy.”

Umzimvubu councillor Inga Nodali said the hawkers centre was the result of months of hard work, dedication and collaboration.

“These hawker stalls provide a platform for our local artisans, craftsmen and entrepreneurs to showcase their skills, share their stories and contribute to the overall economic life of the region,” Nodali said.

“I, therefore, extend our sincerest thanks to the department for its steadfast support and tireless efforts in overseeing the construction of these new hawker stalls.

“This investment in our community’s economic development has not only created tangible opportunities for local entrepreneurs but has also helped to enhance the vibrancy and vitality of eMaXesibeni as a whole.”

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