Operational characteristics of informal sector activities in Osogbo Metropolis, Osun State, Nigeria

Agbolade, Olatutu Opeyemi and Gasu, Martins Binde and Adedotun, Samuel Babatunde and Alalade, Tolulope Abimbola and Oyerinde, Ismail Adedapo (2025) Operational characteristics of informal sector activities in Osogbo Metropolis, Osun State, Nigeria. International Journal of Science and Research Archive, 16 (1). pp. 1561-1574. ISSN 2582-8185

The informal sector is the part of an economy that is not fully regulated by the government. This study identified the informal sector activities in Osogbo metropolis and analyzed the spatial distribution as well as the operational characteristics of the activities of the sector. The study offers an outstanding contribution to knowledge in the field of urban economics. Data for the study were from both primary and secondary sources. The primary data were obtained through the use of questionnaires administered to 261 operators of informal sector activities. The sampled operators were selected through multistage sampling techniques. The analysis of data was conducted using descriptive and inferential statistics. The results of analysis revealed that the informal sector activities in Osogbo Metropolis, grouped into the trading and commercial activities, cottage industries and tertiary services categories, were scattered within the high, medium and low-density residential zones, though the medium residential zone had the highest percentage of the activities (36.4%). Proximity to residence (45.6%) was the most popular reason for choice of business location. The study provides insights for decision makers and government agencies on the operations and challenges of the sector. This will expectedly aid in regulating the activities of the sector.