How large is the size of Côte d’Ivoire’s informal sector? A MIMIC approach

Abstract

The informal sector occupies an important place in developing economies. This paper attempts both to estimate the size of the informal sector in Côte d’Ivoire over the period 1987-2020 and to determine its trend. The results obtained using the MIMIC method reveal that the size of the informal sector is equal to 42.35% of GDP in 2020, and also reveal that there is a growth and a positive trend of the informal sector in Côte d’Ivoire. Moreover, tax pressure, inflation and corruption play a determining role in the development of informal activities in Côte d’Ivoire.

Keywords

• informal sector
• mimic method
• côte d’ivoire