Barka da asuba,
That’s ‘good morning’ in Hausa
Africa is opening back up.
Two weeks ago, the Ghanaian government announced that it would be relaxing lockdown restrictions. More countries are now doing the same.
But Corporate Africa isn’t coming out the same way it went in.
The African Business Angel Network (ABAN) grimly predicted that over 80% of startups
will fail as a result of economic lockdowns.
To mitigate impending disaster, the Nigerian government set up an intervention fund targeted at small businesses. Over 30,000 businesses have applied so far.
But, according to reports, getting access to the funds has been a challenge for many.
Time isn’t on their side.
NITDA (National Information Technology Development Agency) put together a committee to advise the government on how best to support the tech ecosystem specifically.
The agency has implemented some of their recommendations like movement exemptions and an innovation workshop, but issues around access to finance seem like they’ll take a little while longer.
In the meantime, many businesses are being forced to make difficult cash-flow decisions such as salary cuts and downsizing.
At this rate, it’s hard to see how a month that started with a celebration of workers won’t end in more tears for many.