This paper investigates whether the rise in the number of informalentrepreneurs in Zimbabwe is linked to economic growth or failed governmentpolicies. It argues that for the past 30 years informal economic activities haveproliferated at an unprecedented rate as a response to socio-political andeconomic challenges and thus became a default position, for many to escapedebilitating poverty. It draws from the literature, the experiences of one of theauthors who is a Zimbabwean and views of interviewees. The major findingis that the contribution of informal traders in Zimbabwe cannot result insustainable development nor can it significantly increase economic growth.The paper concludes that the rise in informal sector business is rather indicativeof a lack of accountability for the plunder of resources and its attendedconsequences and failure of government economic policies. Finally, it proposesthe adoption of social entrepreneurship approaches to address social problems.<br/
