in Supporting Small Firms in Informal
Settlements in Kabwe, Zambia
FEATURED PAPER
By Fizzo Telebwe Chidakwa and Evance Moses Silumbwe
Graduate School of Business
University of Zambia
Lusaka, Zambia
ABSTRACT
This research project assessed the governance of Local Economic Development (LED)strategic plans in supporting small business enterprises (hereafter called small firms) within informal settlements in the Kabwe district of Zambia.
The study used two theoretical lenses for critical analysis. First, the governance theory framework which examined how this close network interacts with each other to hinder or aid local economic development interventions. Second, the institutional theory as an extra lens of governance which posits that dense networks lead to better policy implementation.
The assessment was guided by the main question: How does governance influence the effectiveness of LED strategic plan implementation in supporting small firms within informal settlements? To answer this question the study focused on three main objectives. These objectives were: (i) to examine the influence of the roles of actors in supporting small firms in informal settlements; (ii) to assess the influence of LED interventions in addressing the specific needs of small firms in informal settlements; and (iii) to propose improvements to Kabwe municipalities governance framework that could enhance the efficacy of support provided to small firms in informal settlements.
The study used a qualitative research design utilizing thematic analysis of a single case study. Data was collected through semi-structured, open-ended interviews to gain in depth insights into the governance mechanism in supporting small firms in informal settlements of Kabwe District, Zambia. Purposive sampling was used to select 15 key informants including local government stakeholders.
Overall, the results indicated that although there are existing support mechanisms, significant gaps in governance persist primarily due to poor leadership, political interference, dependency on external funding, and the presence of fragmented systems of operations in supporting small businesses.
The recommendations made included setting up LED coordination committee to set up meetings hubs for actors, avoid key stakeholder working in silo’s but rather integrate how the municipality and donors collaborate, apply for policy level training from Erasmus University’s institute for Housing and Urban Development Studies (I-H-S) to improve knowledge in LED and strengthening the human capital of Kabwe Municipal Council (KMC)
Keywords: Local economic development| support| Governance| strategic plan |informal settlements| small firms| Entrepreneurial housing| institutional| interaction| policies |actors
INTRODUCTION
In the early 2000s, the United Nations Human Settlements programme (UN-Habitat) initiated a series of Local Economic Development (LED) publications in response to the growing call for decentralisation in the Global South. Around the same time, international agencies like the International Labour Organisation (ILO) advocated for adoption of Local Economic Development Agencies (LEDAs) models in developing countries, aimed at supporting the implementation of LED strategic plans (Meyer-Stamer, 2003). Zambia, with the assistance of the commonwealth Local Government Forum, became one of the countries to develop such a strategic plan with ‘pilot’ municipalities selected to execute them. One of those municipalities was Kabwe Municipal Council (KMC). Since the introduction of these strategic plans, little has been measured in terms of their impact, particularly on marginalised communities, such as small firms in informal settlements. This has sparked discussion on the effectiveness of governance and the management of these strategies (UNESCO, 2011), which led to the focus of this research project.
In 2022, it is estimated that one billion people were living in informal settlements worldwide, largely in the Global South (Agyabeng, Peprah, Mensah, & Mensah, 2022).
Informal settlements, as defined by Ali & Sulaiman (2006), consist of “residential houses built on ‘planned’ and ‘unplanned’ areas without formal planning approval, characterized by low quality housing and inadequate infrastructure and social services”. In Zambia, informal settlements are often referred to as “Kukomboni” or “Kumidadada”, colloquial terms for densely populated areas with unorganised housing. For the purpose of this study, the term “informal settlement” will be used.
The challenge is how to implement LED policies in the context of informal settlements. The concept of governance varies across literature, but there is a foundational agreement that it refers to governance styles where functional boundaries between the private and public sectors are blurred (Stenberg, 2008).
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How to cite this paper: Chidakwa, F. T. and Silumbwe, E. V. (2025). Assessing the Governance of Local Economic Development Strategic Plans in Supporting Small Firms in Informal Settlements in Kabwe, Zambia; PM World Journal, Vol. XIV, Issue VI, June. Available online at https://pmworldlibrary.net/wp-content/uploads/2025/06/pmwj153-Jun2025-Chidakwa-Silumbwe-Assessing-Governance-of-Local-Economic-Development-Strategic-Plans.pdf
About the Authors
Fizzo Telebwe Chidakwa
Lusaka, Zambia
Fizzo Telebwe Chidakwa is a Joint Japan/World Bank Scholar and an accomplished development professional specializing in Local Economic Development (LED), policy advocacy, and sustainable urban management. He holds a Master of Science in Urban Management and Development with a specialization in Housing and Land Justice from Erasmus University Rotterdam, a Postgraduate Diploma in Sustainable Local Economic
Development, and a Postgraduate Certificate in Public Sector Leadership from King’s College London. He also earned a Certificate in Project Management from the University of Zambia and a Certificate in Local Economic Development from the International Institute of Social Studies, Erasmus University Rotterdam. Currently, he is pursuing a Master of Arts in Economic Policy Management (EPM) at the University of Zambia to deepen his expertise in economic governance, policy analysis, and financial management. With extensive experience in urban planning, economic justice, and governance, Fizzo has served as a Senior Housing Officer at Kabwe Municipal Council, managing multimillion-dollar community development projects, advocating for equitable land-use policies, and promoting participatory urban planning. His expertise in Local Economic Development has been instrumental in crafting strategies that support inclusive economic growth, resource efficiency, and community sustainability. Beyond government service, Fizzo is a dedicated researcher and policy analyst, focusing on land governance, economic inclusion, and sustainable urban systems.
His collaborations with organizations such as Habitat for Humanity and the Netherlands Institute of Multiparty Democracy have contributed to policy reforms and strengthenedcivic engagement across Africa. Currently, he is a Board Member and Co-owner of Subilo Academy, a social enterprise committed to empowering underprivileged communities through education and skills development. His leadership in economic policy, land management, and urban resilience continues to influence forward-thinking development strategies for equitable and sustainable cities. For inquiries or collaborations, Fizzo can be reached at fizzochidakwa@gmail.com.
Evance Moses Silumbwe, PhD
Kabwe, Zambia
Mr. Evance Moses Silumbwe, is presently employed as the Chief Building Inspector at the Ministry of Local Government and Rural Development within the Kabwe Municipal Council, situated at Box 80424, Kabwe, Zambia. His professional research field includes the following research areas: Project Management, Water Distribution and Consumption, Spatial Planning, Administration & Management, Highways.
His academic background comprises: Recently accomplished a PhD in Administration & Management at the University of Zambia, spanning from 2021 to 2024. (Clear pass) A dissertation which included: Analysis of Management and Administration of State Land by the Local Authority in the Midst of Illegal Settlement: A Case Study of Excision Land in Kabwe, Central Province, Zambia; Completion of a Teaching Methodology Postgraduate Diploma from Kwame Nkrumah University, Zambia, in 2019–2020; Attainment of a Master’s degree in Project Planning Management from the Information Communication University of Zambia during 2015–2017; Participation in International Diplomacy Studies at the Zambia Institute of Diplomacy Studies in 2015; Diploma in Building Construction from Copperbelt University, Zambia, acquired from 2008 to 2012; Bachelors in Road maintenance and management -from University of Africa from 2012 to 2015; Completion of a Postgraduate Diploma in Project Management from Cavendish University, Zambia, in 2008; Obtaining a Monitoring and Evaluation Certificate from the University of Zambia in 2006; Acquisition of a Project Planning Certificate from Technical Vocational Training College, Luanshya, Zambia, in 2005; Studied Business Administration at the University of Zambia in 2004; and Completion of Plumbing and Sheetmetal studies at the Lukashya Trades Training Institute in 1996–1997.
Furthermore, he is currently an active member of the Engineering Institute of Zambia. He can be contacted at silumbwemoses7@gmail.com
