5 Countries with the Highest Informal Employment in the World

In this article, we take a look at 5 countries with the highest informal employment in the world. If you would like to take a detailed look at our analysis of the informal economy, you can take a look at 25 Countries with the Highest Informal Employment in the World. 

5. Burkina Faso

Proportion of Informal Employment in Total Employment (2023): 95.2% 

In Burkina Faso, the informal sector contributes 20% to the country’s total GDP. 70% of the economically active urban population works within the informal sector.

4. Mozambique

Proportion of Informal Employment in Total Employment (2015): 95.7% 

In 2016, a local startup, UX Information Technologies, launched the Biscate app in Mozambique. This app lets informal workers advertise their services and connect with potential clients. A World Bank analysis of the app revealed that workers were able to raise their profits by as much as 67% through the app. This is another example of how technology can enable informal workers to earn better.

3. Benin

Proportion of Informal Employment in Total Employment (2018): 96.9%

Benin ranks third on our list of countries with the highest rates of informal employment. In 2018, 96.9% of the country’s total employment was in the informal sector.

2. Chad

Proportion of Informal Employment in Total Employment (2018): 96.9% 

The World Bank reports a growth in the formal unemployment rate in Chad, which is why the size of the informal economy in the country has been increasing. In 2018, the country had an informal employment rate of 96.9%.

1. Burundi

Proportion of Informal Employment in Total Employment (2014): 98.3% 

The ILO’s database states that Burundi had an informal employment rate of 98.3% in 2014. However, a 2017 report by the Organization showed that this had fallen to 95%. Burundi ranks number one on our list of countries with the highest informal employment in the world.

You can also look at 20 Countries That Have The Potential To Be Major Tourist Destinations and 20 Countries that Produce the Most Pollution in the World.