Government unlocks R500 million for South African-operated spaza shop fund

702 and CapeTalk’s Africa Melane speaks with the Ministerial Spokesperson for the Department of Trade, Industry and Competition, Yamkela Fanisi. 

Listen below:

Following its efforts to get spaza shops across the country registered, the government has unveiled a R500 million fund to support informal traders. 

Announced by Trade, Industry and Competition Minister Parks Tau, the fund will be administered by the National Empowerment Fund (NEF) and the Small Enterprise Development Finance Agency.

It will provide financial and non-financial support to township businesses, convenience stores and spaza shops.

The informal trading sector is worth R184 billion with over 11 million buyers, says Fanisi. 

"...the market is significant and so important that it enables us to integrate the grassroots entrepreneurs… most are in rural areas and townships.” 

– Yamkela Fanisi, Ministerial Spokesperson – DTIC

Businesses must abide by their municipality's bylaws, they must be fully registered, and be fully South African-operated.

“Last year there was a big highlight of the unsafe conditions in which many of these shops operate… We enter at a level of professionalising spaza shops.” 

– Yamkela Fanisi, Ministerial Spokesperson – DTIC

Spaza shop owners interested in applying for the fund can visit the website or call 011 305 8080 for more information.

Scroll up to the audio player to listen to the discussion.