Impact of Covid-19 Pandemic on Msmes Survival in Nigeria

DOI

10.2991/assehr.k.211101.026How to use a DOI?

Keywords

covid-19; pandemic; MSMEs; survival

Abstract

This study evaluates the impact of Covid-19 pandemic on MSMEs survival in South-West, Nigeria. The study focused on the enterprises cash flow, debtors’ ability to pay their debts, enterprises ability to pay their creditors and enterprises ability to pay wages and salaries. The study also evaluates the support received from the Government or its agencies and private enterprise support organizations, since the outbreak of COVID-19 pandemic. The study employs survey research design, through the administration of structured questionnaire on chief executives of MSMEs in South West Nigeria. The population of this study comprises all the chief executives of MSMEs in South-West, Nigeria. These states include: Lagos, Ogun, Oyo, Osun, Ekiti and Ondo States. The findings reveal that covid-19 pandemic has negatively impacted enterprises cash flow; it has negatively impacted their debtors’ ability to pay their debts, it has also negatively impacted enterprises ability to pay their creditors as well as enterprises ability to pay wages and salaries. Furthermore, the findings also reveal that most enterprises did not receive any form of support from the Government or its agencies nor private enterprise support organizations, since the outbreak of COVID-19 pandemic. It is therefore concluded that the outbreak of COVID-19 pandemic has adversely impacted the survival of enterprises, as some of the key survival indicators (cash flow, debt recovery, ability to pay creditors and payment of wages and salaries) have been negatively impacted. It is recommended that the government and it agencies should come up with support packages that will boost the cash flow, debt recovery, ability to pay creditors and payment of wages and salaries of the enterprises, which will positively impact their survival. It is important to state that the government of Nigeria has introduced series of enterprises support packages, aimed at revitalizing the MSMEs segment of the Nigerian economy. A very good example is the enterprise grant and payroll support packages. However, the coverage of this enterprises support packages is very narrow, as most MSMEs are yet to benefit from such packages.

Copyright

© 2021 The Authors. Published by Atlantis Press SARL.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Eze BennethUchenna
AU  - Wahab Nurudeen Opeyemi
AU  - Ojo Olanipekun James
PY  - 2021
DA  - 2021/11/13
TI  - Impact of Covid-19 Pandemic on Msmes Survival in Nigeria
BT  - Proceedings of the 1st International Conference on Continuing Education and Technology (ICCOET 2021)
PB  - Atlantis Press
SP  - 132
EP  - 140
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.211101.026
DO  - 10.2991/assehr.k.211101.026
ID  - BennethUchenna2021
ER  -