TITLE:
Effect of COVID-19 Pandemic on the Performance of Small and Medium Business Enterprises in Abuja-FCT, Nigeria
AUTHORS:
Ozigi Emmanuel Enesi, Umar Abbas Ibrahim
KEYWORDS:
COVID-19, Pandemic, Lockdown, Business Performance, SMEs, Abuja-FCT
JOURNAL NAME:
Open Journal of Business and Management,
Vol.9 No.5,
September
13,
2021
ABSTRACT: It is obvious that corona virus pandemic has
seriously disrupted the world economy and continuing to ravage the existence of
businesses. The small and medium businesses are worst hit. This study
specifically identifies the effect of COVID-19 pandemic on the performance of
SMEs business in Abuja and providing recommendations on how their businesses
can improve and perform effectively during this falling economy and the
numerous challenges caused by the pandemic. The study adopted a quantitative
research technique using data collection method through the administration of
structured questionnaire and on 10 selected SMEs with 100 respondents in
Municipal Area Council in Abuja which were selected purposively to elicit
insights into the effect of COVID-19 pandemic on their businesses. Findings from
the analysis indicated that the COVID-19 pandemic’s effect includes: loss of competent staff resulting from reduction in
staff salary, low revenue or income generation, lack of patronage, and lack of
sincerity on the part of government to reduce the prevalence of the pandemic.
The SMEs are often faced with problems such as: inability
to pay salaries, repay loans and rent. Most respondent suggested that
government should introduce a well monitored and structured palliative schemes,
poverty alleviation programs, reduced interest rates, relax loans and defer tax
payments. There are related variables that were not mentioned in this study. It is therefore necessary to consider them in future
research work.