ActionSA Mayor Nasiphi Moya
By Natalie Naidoo
Tshwane – ActionSA Mayor Nasiphi Moya has reaffirmed her stance that spaza shops in Tshwane should be owned exclusively by South Africans, as the metro intensifies efforts to enforce compliance within the informal trading sector.
Speaking during her 100-day milestone address on Tuesday, 13 February 2025, Moya stood firm on her controversial position, which has sparked constitutional debates and legal scrutiny.
“For those residents who are saying they can start a business so they can put food on the table, this is one of the ways we are doing it, so definitely, we stand by it,” said Moya.The mayor’s localisation approach is part of a broader strategy to regulate informal trade, protect public health, and tackle unemployment in South Africa’s capital city.
The city has since approved a draft informal trading and township economy by-law, which has now been opened for public consultation. The proposed by-law:
• Enforces stricter licensing requirements for spaza shops and informal traders
• Mandates health and safety standards to protect consumers
• Outlines penalties for non-compliance, with businesses required to register with the city by the end of February
Moya’s remarks follow a directive by President Cyril Ramaphosa, ordering informal traders to register their businesses, sparking concerns among foreign-owned businesses that they may be systematically excluded from operating legally.
Moya’s Controversial Stance: Nationalism or Economic Reform?
Moya’s stance on spaza shop ownership has been divisive, drawing both praise and backlash since she first raised the issue in 2024 during an imbizo in Soshanguve.
During that public engagement, Moya rejected foreign ownership in the informal trade sector, arguing that small-scale retail businesses should be reserved for local entrepreneurs.
Her position has received support from unemployed South Africans, particularly those in townships, who feel that foreign nationals dominate the informal trading economy, leaving locals struggling to establish businesses.
“This is about empowering South Africans and ensuring that our local business owners have opportunities,” Moya stated.However, legal experts and human rights activists have raised concerns about the constitutionality of her stance, warning that excluding foreign nationals from informal trade could violate South Africa’s immigration and business laws.
Constitutional and Legal Implications
South Africa’s Constitution and immigration laws grant foreign nationals the right to work and operate businesses, provided they comply with licensing regulations.
Legal expert Professor Pierre de Vos cautioned that Moya’s approach may face legal challenges, stating:
“The Constitution protects everyone in the country, including legal immigrants. Any policy that enforces exclusive ownership based on nationality must align with constitutional rights and international trade agreements.”Human rights groups, including the African Diaspora Forum, have also called for clarity on the new regulations, arguing that many foreign-owned spaza shops are legally compliant and provide employment to South Africans.
Spaza Shop Crackdown: Compliance or Targeting Foreign Traders?
Moya’s administration has intensified efforts to regulate informal trade under the new township economy policy, which is being implemented alongside the draft by-law.
Under this initiative, the city is conducting:
• Health and safety inspections at spaza shops
• Licensing enforcement drives
• Consumer protection assessments
Officials have warned that businesses failing to meet these regulations risk closure, with Tshwane Metropolitan Police Department (TMPD) officers already conducting compliance checks across various townships.
Moya insists that the new by-law is not about targeting foreign nationals, but rather ensuring that all businesses adhere to the law.
“If you are a business owner in Tshwane, whether South African or foreign, you must comply with our city’s regulations. We are not stopping anyone from operating legally, but we will not tolerate lawlessness,” she said.Coalition Government and Political Stability in Tshwane
Moya’s localisation stance and policy direction come as she navigates a fragile coalition government in the capital.
The ActionSA–ANC–EFF coalition took over governance in Tshwane last year, displacing the DA and other opposition parties.
Moya, who took office in October 2024, became the sixth Tshwane mayor since 2016, inheriting a city plagued by:
• Political infighting
• Service delivery failures
• Financial mismanagement
During her 100-day address, Moya assured residents that her administration had begun stabilising the metro, stating:
“We understand that each of us brings something to the table. Obviously, I can’t control what others say, but whatever work I get to present is the outcome of collective effort.”She also acknowledged potential coalition tensions ahead of the 2026 local government elections, saying:
“We know that our coalition partners will be on opposing sides of the campaign trail next year. But there is a constructive way of doing whatever we need to do as we campaign to 2026.”Fighting Corruption in Tshwane’s Municipality
Beyond spaza shop regulations, Moya has taken a firm stance on corruption in the metro’s administration.
The mayor highlighted concerns raised by the Auditor-General, particularly regarding:
• Financial mismanagement
• Lack of consequence management
• Service delivery corruption
To restore credibility, Moya’s administration has:
• Concluded 180 forensic investigations into municipal staff misconduct
• Recommended disciplinary action against 129 officials
• Referred 39 cases for criminal prosecution
• Identified 48 cases for financial recoveries
Additionally, 70 senior officials are facing disciplinary action for financial misconduct.
Moya assured residents that her administration will not tolerate corruption, stating:
“When the wrong has been done, we’re not going to look away from it.”One of the biggest offenders identified in these investigations was the Tshwane Metropolitan Police Department (TMPD), with several officers dismissed for bribery.
Public and Business Reactions to Moya’s Leadership
Support for Moya’s Policies
Moya’s tough stance on localisation and compliance has gained support from:
• Local township entrepreneurs, who say that South Africans should be prioritised in informal trade
• Residents frustrated with poor service delivery, who believe stronger governance will bring economic relief
• Coalition allies, who see her leadership as an opportunity to rebuild Tshwane’s economy
A spokesperson for the South African Informal Traders Alliance (SAITA) welcomed the by-law consultation, stating:
“We support any policy that empowers local traders while ensuring fair competition and compliance.”Criticism and Concerns
However, opposition parties and legal analysts have warned that:
• Excluding foreign nationals from spaza shops may be unconstitutional
• Regulatory enforcement must be fair and transparent
• Harsh compliance measures could negatively impact small businesses
The Democratic Alliance (DA), which was removed from Tshwane’s leadership, accused Moya of using populist policies to deflect from deeper economic challenges.
“This administration must focus on growing the economy instead of scapegoating foreign-owned businesses,” said DA spokesperson Cilliers Brink.
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