An old African proverb says: “When the lion does not hunt, the hyena will feed”. In many African economies, this proverb vividly captures a reality familiar to anyone who lives or works on the continent: when formal employment opportunities in the manufacturing or service sectors (the “lion”) are scarce, people turn to trade a primary source of income. This dynamic, which can be described borrowing a term from development economics as “trade fallback”, lies at the heart of Africa’s expanding informal economy.








