Administrative Law and the Regulation of Informal Sector Enterprises in Uganda

This research explores the role of administrative law in regulating Uganda's informal sector, which plays a crucial role in employment and economic inclusivity. Despite its significance, the sector faces numerous challenges, including difficulties in formal registration, inconsistent enforcement of regulations, and limited monitoring. These barriers prevent many informal businesses from transitioning to the formal economy, restricting their potential for growth and access to essential services. The study examines the regulatory framework governing the informal sector, focusing on initiatives aimed at simplifying processes such as business registration, tax compliance, and licensing. It emphasizes the importance of legal recognition and protection for informal businesses, which enables access to financial services, social security, and intellectual property rights. However, issues like administrative discretion, corruption, and inconsistent enforcement by regulatory authorities hinder the sector’s development and create an unequal playing field for informal entrepreneurs. Additionally, the research investigates how administrative law contributes to financial inclusion, facilitating access to microfinance, mobile money, and banking services for informal businesses. By improving financial inclusion, administrative reforms can help integrate informal enterprises into the formal economy. Through case studies, the research highlights both successful and unsuccessful regulatory efforts, providing key insights into the challenges faced and the lessons learned which are essential for shaping future reforms that support sustainable economic growth in Uganda.