Despite about N3 trillion interventions by the Central Bank of Nigeria (CBN) and the Federal Government, 73 percent of businesses in Nigeria reported that they were faced with cash crunches in 2020 following covid-19 lockdowns. Many businesses, particularly informal ones, also reported poor access to credit and capital to sustain their enterprises, including difficulty paying fixed costs like rent. Also, one-third of the businesses indicated that they know of businesses that have permanently closed due to operational challenges resulting from the pandemic. Against the backdrop of a decline in production of goods and services and an increase in operational costs, 55 percent of business enterprises were utilising less than 60 percent of their capacity. To counter the impact of containment measures on operations, 77 percent of business enterprises reported that they either reduced working hours, or either temporarily or permanently had to lay off workers.

Source: Nigerian Tribune September 21, 2021 17:23 UTC