Effects of Corona Virus (Covid-19) Pandemic On Small and Medium Scale Enterprises in Nigeria: A Case Study of Sango-Ota Industrial Estate
Effects of Corona Virus (Covid-19) Pandemic On Small and Medium Scale Enterprises in Nigeria: A Case Study of Sango-Ota Industrial Estate

Summary/Abstract: This survey was conducted to investigate the impact of COVID-19 lockdown on supply chain distribution and employment status of workers in small and medium enterprises engaging in three essential goods and services in Sango Ota, Nigeria. We collected data with the aid of a well-structured set of questionnaires, administered to SMEs engaging in three essentials- food and consumables, pharmaceuticals, oil, and gas operating in Sango-Ota industrial estate. Consequently, 45 SMEs, 30 SMEs, and 25 SMEs engaging in food and consumables, pharmaceuticals, oil, and gas respectively were purposively selected for this study. The findings that emerged in the work are as follows; COVID-19 lockdown did not disrupt to supply chain distribution of SMEs engaging in the three essential commodities in Sango Ota industrial estate. Also, no employee of the selected SMEs was laid off permanently due to the COVID-19 lockdown. But, SMEs engaging in both food and consumables, and oil and gas laid-off workers temporarily. Laying off workers temporarily might have been one of the spillovers of reduction in aggregate demand of products and services of the selected SMEs in their respective target markets due `no movement order except those on essential duties`. Against this backdrop, the following recommendations are made for the policymakers in particular and all SMEs stakeholders in Nigeria in general that: coronavirus (COVID-19) lockdown is a threat to the survival of SMEs and job security of their employees in Nigeria as such the policymakers in Nigeria could reduce the vulnerability of these entities through emergency funding or waiver of taxes to make them remain afloat during the lockdown and post lockdown period.

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