[{"bbox": [96, 152, 1134, 285], "category": "Text", "text": "\"Agenda 2050\", Angola's long-term development strategy, envisages a new scenario for Angola's economic growth based on the diversification of the economy, which entails a reduction of the fossil fuel subsidies, increased cash transfers to the people living in poverty and the transition towards renewable energy sources. To this end, the government conceived a number of key programs to promote the employability (PAPE), support the production, export diversification and import substitution (PRODESI) and to reverse the informality of the economy (PREI)."}, {"bbox": [96, 297, 1134, 431], "category": "Text", "text": "The PREI has defined the informal actors as “members of the Economically Active Population working in the private sector, cooperatives, markets, associations, churches, Non-Governmental Organisations or the self-employed, who are in one of the following situations: i) work without a contract; ii) work in an unregistered unit of production of goods or services; and iii) those who do not benefit from any social protection scheme (e.g., paid annual leave, social security, health insurance, etc.)”."}, {"bbox": [96, 442, 1134, 549], "category": "Text", "text": "According to its strategy 2020-2022, the PREI has two specific objectives: i) To reduce informality rates by 2022; ii) To strengthen social dialogue, governance capacity and the effectiveness of public policy for the transition to the formal economy by 2022. The Government endorsed different policy and legal pieces that may provide a legal framework for the implementation of the programme, namely:"}, {"bbox": [135, 550, 1034, 577], "category": "List-item", "text": "* The law 15/19 to regulate the commercial and trade activity of stallholders and street sellers³²."}, {"bbox": [135, 579, 1134, 630], "category": "List-item", "text": "* The Law 94/21 to regulate the MSMEs. It established the “One-stop shop” for the creation and registration of the MSMEs³³."}, {"bbox": [135, 632, 1134, 684], "category": "List-item", "text": "* Presidential Decree 98/20 on Relief Measures to alleviate the negative economic and financial impact of Covid-19³⁴."}, {"bbox": [135, 687, 1134, 743], "category": "List-item", "text": "* Executive Decree 97/22, which set up the contributory social protection regime for low-income self-employees³⁵."}, {"bbox": [135, 744, 1134, 797], "category": "List-item", "text": "* Executive Decree 222/22, which creates the OEI, a collegiate consultative body that assesses and supports the process of formalisation."}, {"bbox": [96, 808, 1134, 995], "category": "Text", "text": "Although there is a common vision across different political levels on the priorities and goals of the PREI, an Action Plan is needed to set up clear targets, milestones and activities, costing of the action, financing resources and time frame post-2022. The EU-financed technical assistance for the ongoing Budget Support assists the MEP in the elaboration of the new Action Plan 2023-2027, which should be endorsed coinciding with the approval of the new NDP 20232027³⁶. In the absence of an Action Plan, to ensure the credibility of the policy, the Government is in the process of signing a Memorandum of Understanding on the vision, priorities and commitments for the PREI in the next political cycle."}, {"bbox": [96, 1006, 1134, 1113], "category": "Text", "text": "In practice, the PREI has been rolled out through formalisation campaigns in 24 urban markets in the capitals of 16 provinces of Angola³⁷. The formalisation is organised through an eight-step process, encompassing different services, stemming from applying for the identity card to access to mobile money and microcredit. The following sequence offers a snapshot of the processes and institutions involved:"}, {"bbox": [96, 1124, 1134, 1259], "category": "Text", "text": "Identity card (Ministry of Justice) → Stallholders card (Municipal Administration) → Fiscal identification number (AGT) → MSMEs Registration at “One-stop shop” (GUE, *Guiché Unico de Empresa*) → Registration to INSS → Financial literacy and business management training (INAPEM) → Vocational training for increased productive capacity (INEFOP) → Access to mobile money technologies and micro-credit (FACRA and specialised private agencies)."}, {"bbox": [96, 1270, 1134, 1351], "category": "Text", "text": "The comprehensiveness and integration of services ensures that the PREI is relevant to the challenges of informality and the multisectoral nature of problems faced by the informal operators. However, the sustainability of the programme depends on its capacity to address two inexorable challenges:"}, {"bbox": [135, 1360, 920, 1389], "category": "List-item", "text": "* How to scale up the formalisation given the magnitude of informality in Angola³⁸"}, {"bbox": [135, 1389, 984, 1416], "category": "List-item", "text": "* How to attract and retain economic operators (workers and firms) in the formal economy"}, {"bbox": [85, 1470, 1144, 1494], "category": "Footnote", "text": "³² Lei n.º 15/19 - Sobre a Organização, Exercício e Funcionamento das Actividades de Comércio Ambulante, Feirante e de Bancada de Mercado"}, {"bbox": [85, 1493, 973, 1516], "category": "Footnote", "text": "³³ Lei 94/21 – Regulamento da Lei das Micro, pequenas e medianas empresas. Estabelece o Guiché Único de Empresa."}, {"bbox": [85, 1514, 1144, 1559], "category": "Footnote", "text": "³⁴ Decreto Presidencial n.º 98/20, que aprovou as Medidas Imediatas de Alívio dos Efeitos Económicos e Financeiros Negativos provocados pela pandemia da COVID-19."}, {"bbox": [85, 1558, 801, 1581], "category": "Footnote", "text": "³⁵ 97/22 – Regime de proteção social por contra propiá para trabalhadores de baixo rendimento."}, {"bbox": [85, 1579, 974, 1603], "category": "Footnote", "text": "³⁶ The Governments has 6 months after the elections to approve the National Development Plan - therefore April 2023."}, {"bbox": [85, 1602, 530, 1625], "category": "Footnote", "text": "³⁷ Data available at https://prei.ao/, updated on 31/05/2022."}, {"bbox": [85, 1623, 932, 1646], "category": "Footnote", "text": "³⁸ Until 7 July 2022, 225,520 operators had been formalised, out of a universe of approximately 8 million people."}, {"bbox": [1027, 1681, 1144, 1705], "category": "Page-footer", "text": "Page 11 of 33"}]