Paper short abstract:

The study examines the interplay between trust, governance, and economic agency in South African townships. Using participatory methodologies, it highlights how multi-stakeholder coalitions, informal financial systems, and digital tools can drive inclusive growth, equity, and grassroots agency.

Paper long abstract:

South African townships, a legacy of apartheid's spatial and economic segregation, are emblematic of socio-economic inequality and spatial marginalisation. Townships areas are disproportionately affected by poverty, unemployment, and systemic marginalisation and remain hubs of informal economic activity. The prevalence of limited economic opportunities, unregulated land markets, and urban renewal initiatives that seem to disregard the opinions of township residents exacerbate these problems. Consequently, tension between the government and township communities leads to widespread protests, uprisings and resistance movements despite the various participatory governance mechanisms that have been put in place. This study argues that the continued economic disparities coupled with a history of discrimination have created a complex interplay of mistrust in economic governance institutions, identity politics and a sense of hopelessness. Accordingly, the study interrogates the interplay of trust, governance, and economic agency within townships to identify innovative pathways for economically inclusive urban futures. Furthermore, the study seeks to understand how multi-stakeholder coalitions can promote inclusive economic growth by leveraging informal financial systems, digital technology, and cultural industries. The study also examines how power dynamics and social identities might influence urban reform coalitions and promote grassroots agency and equitable governance. The study uses participatory methodologies (Qualitative Impact Assessment Protocol, QUIP, and Participatory Assessment of Development, PADev) to amplify local voices while emphasising the co-production of knowledge with community members, NGOs, and policymakers. Mdantsane and Khayelitsha townships are used as study sites.