Deputy President Paul Mashatile has raised concerns about South Africans registering spaza shops on behalf of undocumented foreign nationals. He revealed that inspectors have evidence of this practice, which undermines efforts to regulate the informal retail sector.
Mashatile made the remarks while addressing oral questions in the National Council of Provinces on Thursday.
The government recently mandated that all spaza shops be formally registered by December 13 as part of a broader initiative to regulate and support small businesses. However, Mashatile cautioned against exploiting this process to benefit undocumented migrants.
“The concern we have is with those who register spaza shops for illegal foreigners. This must be curbed,” Mashatile stated. “I have no issue if you are a landlord renting out your premises, but don’t register shops under your name for individuals without legal documentation.”
The call comes as government intensifies efforts to ensure compliance and improve oversight within the informal economy, aiming to foster sustainable growth while addressing legal and economic challenges.