This study examines the socio-economic impacts of slum resettlement through the case of Lebrahma’s relocation to Al Marouwa in Casablanca, Morocco. While formalization efforts under the Villes Sans Bidonvilles program aimed to improve housing and urban order, they overlooked the informal economic systems and social networks that sustained residents’ livelihoods. Drawing on ethnographic fieldwork, the research reveals how the transition from flexible, community-based informal economies to rigid formal planning structures disrupted home-based businesses, severed support networks, and eliminated informal job opportunities. Informed by the work of Weber, Roy, Ben Haman, and de Soto, the paper critiques top-down planning models that ignore local knowledge and survival strategies. It does not romanticize informality, but recognizes its critical role as a strategic mechanism for navigating precarity. The study argues that when resettlement policies fail to engage with informal realities, they risk producing not only greater vulnerability and social marginalization, but also deepening impoverishment. The findings call for urban planning models that integrate, rather than erase, the adaptive strategies of informal communities. • Resettlement disrupts informal economies, undermining household livelihoods. • Formal land-use regulation and spatial design reshape economic opportunities and social networks. • Informal activities function as adaptive survival strategies, not merely planning failures. • Flexible housing and designated spaces for small businesses can support displaced communities. • Integrating local practices into planning mitigates vulnerability and strengthens resilience.
Omar Ben Haman (Mon,) studied this question.