Pushing the Boundaries of Ambition: The Debate over Unrelenting Pursuit of Success in Kenya

In South Africa, the road to the formal economy has been a challenging one, with politics often hindering progress. This is in stark contrast to Kenya, where a staggering 80% of the economy operates informally.

The colonial period left a lasting impact on the African population in South Africa, forbidding them from growing cash crops and competing with "white plantations." As a result, a significant portion of the economy remains informal, with approximately 20% of South Africa's GDP being generated informally.

Despite this, South Africa boasts a robust infrastructure that extends even to its poorest communities. Roads, power, and other essential services are accessible nationwide, providing a solid foundation for economic growth.

The country is known for its production of fruits, wine, and other agricultural products in significant quantities. However, the manufacturing sector, services, and commercial farms also offer a wealth of job opportunities.

The author suggests rethinking the current economic model and separating political emotions from it. More formalisation could lead to better quality jobs, increased tax revenue, and potential welfare for the unemployed.

However, staying on the periphery of the formal economy has become the norm for many South Africans. Hustling, while a common means of survival, has its limits in the path to the formal economy.

South Africa has faced criticism for high unemployment, crime, inequality, and xenophobia. The African National Congress (ANC), the country's ruling party, has lost its majority due to the perception that it has not adequately addressed these issues. Unemployment in South Africa is a legacy of apartheid and the slow structural transformation of the economy.

Interestingly, hustling is not as prevalent in South Africa as it is in some other countries. M-Pesa kiosks, bodabodas, pimped matatus, and hawkers are not common sights in South Africa. Instead, South Africans benefit from free medical care and subsidized higher education.

Unemployment benefits are available for those out of work, and the government is working to create more formal job opportunities. The informal sector, while significant, often results in small businesses with few employees and low wages.

It's worth noting that developed countries, such as parts of Southern Europe and those with large immigrant populations, also have a significant informal economic sector. However, countries like China and Japan traditionally underwent their economic transformation through planned industrialization and modernization processes, rather than relying on an informal sector for growth.

A visit to both South Africa and developed countries has convinced the author that hustling has its limits. As South Africa continues to navigate its economic future, it's clear that a balanced approach, combining formalisation and support for small businesses, will be key to success.

Pushing the Boundaries of Ambition: The Debate over Unrelenting Pursuit of Success in Kenya