A Burgeon in Informal Economic Activities Along Highways in Urbanizing Cities: Implications for Sustainable Development

The recent rise in the size of the informal sector in developing economies, particularly in the Global South, is increasingly recognized as an obstacle to sustainable development. The sector remains the primary source of employment and serves as an engine of economic growth in developing countries. Despite their significant contribution, they also threaten the urban environment. The research uses major road transportation networks to investigate the impacts of informal economic activities on mobility and the environment in cities. A section of the National Highway Six (N6) Road in Oforikrom Municipality, Ghana, was used as a case study. The study findings suggest that informal economic activities along major transportation corridors lead to road accidents, traffic congestion, poor sanitation, and reduced aesthetic quality of the city centre. The analysis of variance shows that informal economic activities negatively impact traffic congestion, F (4, 19.15) = 7.57, P < .0001, η² = 1.48 and sanitation, F (4, 22.35) = 5.55, P = .003, η² = .06. 21.8% of reported accident cases involved informal economic actors. The study recommends policies geared towards cross-institutional partnership, strict law enforcement, and infrastructural renewal where provisions would be made for informal economic operations with the necessary safety measures. The Ministry of Sanitation and the Department of Urban Roads should come together to reach agreements with traders through formal regulations to control indiscriminate waste disposal along the highways. Further research and innovation are needed to integrate such infrastructures into the traditional transport modelling system.