THE ROLE OF MIGRANTS AS AGENTS OF SUSTAINABILITY AND DEVELOPMENT WITHIN THE INFORMAL ECONOMY OF ONDO STATE, NIGERIA

Abstract

This study explores the role of migrants as agents of sustainability and development within the informal economy of Ondo State, Nigeria. Specifically, the objectives of the study are to: examine the socio-economic characteristics of migrants in the informal sector; identify the types of enterprises that constitute the informal sector in the study area; and assess the impact of migrant workers on the sustainability of the informal sector economy. Primary data was used for this study. The data was gathered through a series of fieldwork conducted on randomly selected small-scale businesses located in the Ondo West Local Government Area of Ondo State. Information on the socio-economic characteristics of business owners in two areas—Adeyemi College Road and Odotu Area—was collected using a well-structured questionnaire. These areas were purposively selected due to the high concentration of informal sector workers. The purposive sampling technique was employed, and the Yamane (1967) formula was used to determine an appropriate sample size from the study population, as it was impractical to administer questionnaires to all residents in the area. A total of 340 respondents were selected. The collected data was analyzed using both descriptive statistics (frequency counts and cross-tabulations) and inferential statistics (Chi-square analysis). The study revealed that 167 respondents (49.12%) identified unemployment as the primary motivator for engaging in the informal sector of the economy. It also found that 266 respondents (78.23%) among migrant workers in the informal sector were engaged in trading activities. Furthermore, the majority of migrant workers in this sector were found to live on between ₦1,370 and ₦2,740 (approximately $0.86–$1.71) per day—below the World Bank’s poverty threshold of $2.15 per day. Chi-square analysis (χ² (2, N = 340) = 264.548, p ≤ 0.05) indicated that migrant workers in Ondo State’s informal economy have a statistically significant impact on sustainability outcomes. The study concludes by recommending that policymakers prioritize inclusive social protection programs, resource management training, and gender equity initiatives to enhance sustainability outcomes. By highlighting the intersections of migration, informality, and sustainable development, the study provides a nuanced understanding of how migrant populations can serve as catalysts for inclusive growth. The research calls for a reimagining of urban and economic policy frameworks to reflect the realities and potential of informal migrant actors in building equitable and resilient futures.