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This paper examines the characteristics and socioeconomic importance of the informal sector in Africa with particular emphasis on Guinea Republic. Specifically, it aims at identifying the main economic activities and how these create a positive financial force for local development. To attain this goal, we carried out a comprehensive review of published literature obtained through Research gate, Web of science, Google scholar and Mendeley. It was observed that though the informal sector drags behind developmental processes, it subsidizes unemployment for many urban poor and rural communities. The sector is also very prominent and constitutes a major source of financial returns for the state through taxes. The contribution to the developmental process through this sector can be achieved if appropriate management strategies are adequately implemented. This will also boost and increase government’s level of tax collections and enhance poverty alleviation in poor urban and rural communities.

Assessing the Socioeconomic Impacts of the Informal Sector in Guinea, West Africa