The United Nations Development Programme (UNDP) in South Africa, in partnership with the City of Johannesburg and Wakanda NPC, has launched the Digital Innovation for Modernising the Independent Economy (DIME), a groundbreaking initiative transforming the township economy through digital tools, improved food safety standards, and financial inclusion.
Developed in response to the 2024 foodborne illness outbreaks, DIME introduces a new generation of digital public infrastructure for township economies. At the centre of the initiative is the Sphazamisa App, a digital platform that integrates digital identity, food safety routines, traceability, stock management, and e-payment functionalities into one accessible ecosystem. The technology aims to make township retailers safer, more resilient, and fully visible within South Africa’s evolving digital economy.
The first phase of DIME is rolling out across Gauteng, equipping township enterprises with tools to transition from traditional operations to a digitally enabled, finance-ready model. The programme also aligns with G20 priorities on inclusive digital transformation, youth employment, and resilient food systems, reframing the “informal economy” as the Independent Economy — a legitimate and vital part of South Africa’s growth story.
UNDP South Africa Resident Representative and Director of the Africa Sustainable Finance Hub, Maxwell Gomera, said the initiative recognises the scale and strength of township entrepreneurship. “Township entrepreneurs have built a R1 trillion economy — often without support from the system. DIME is our response: building new systems that honour the independent economy as innovative, resilient, and investable. When township enterprises grow with dignity and support, South Africa grows.”
The initiative focuses on four key areas:
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Digital Transformation of Spaza Shops
The Sphazamisa App assigns participating retailers a digital identity linked to the City of Johannesburg’s business registry. QR and NFC-enabled tools support food safety monitoring, inspection readiness, and real-time traceability. These insights feed into a municipal dashboard that enhances early-warning systems and strengthens public health oversight. -
Capacity Building and Local Empowerment
DIME is creating a community-led digital transformation movement. Youth Digital Ambassadors — with an emphasis on women’s participation — help retailers adopt new tools and improve business practices. Tailored training builds digital literacy, enterprise management capabilities, and food safety skills. -
Financial Inclusion and Market Integration
Through partnerships with fintech providers and wholesale suppliers, DIME ensures that digitally compliant shops can access secure payment options, structured supply chains, and pathways to credit. Financial literacy programmes further support retailers in managing electronic transactions and building strong credit profiles. -
Multi-Stakeholder Governance
The initiative is anchored in collaboration between public institutions, private sector partners, and community organisations. Ongoing dialogues and co-design sessions support policy alignment and long-term sustainability.
DIME responds directly to longstanding challenges in the township retail sector, including limited digital visibility, barriers to finance, and fragmented compliance systems. Its impact includes strengthening public health and food safety systems, enabling retailers to become creditworthy and investment-ready, creating youth employment opportunities, and positioning South Africa as a leader in inclusive digital public infrastructure.
Miles Khubeka, CEO of the Wakanda Food Accelerator, said: “When township entrepreneurs are equipped with smart, accessible digital tools, they don’t only comply with standards — they redefine excellence. Innovation rooted in community can transform nations.”
Mathopane Masha, Executive Director for Economic Development in the City of Johannesburg, emphasized the City’s commitment to enabling — rather than restricting — township entrepreneurship. “Regulation is about creating safe trading spaces and unlocking value. Where township entrepreneurship meets digital innovation, growth explodes.”
DIME offers a scalable model for modernising the Independent Economy and ensuring that township enterprises not only survive but thrive in the digital era.
