THE SOCIOECONOMIC EFFECT OF THE 2020 COVID-19 LOCKDOWN ON SMALL AND MEDIUM ENTERPRISES AT THE IBRAHIM BADAMASI BABANGIDA INTERNATIONAL MARKET SULEJA- NIGER STATE, NIGERIA

ABSTRACT

Small and medium scale enterprises (SMEs) remain the cardinal point of any economy including those of developing countries such as Nigeria. There have been several efforts made to advance the functionality and sustainability of SMEs in Nigeria, however, the Covid-19 pandemic came with a peculiar challenge affecting global economy; and SMEs globally were affected including those in Nigeria. The objective of the study was to look at the effect of Covid-19 on the growth of SMEs in IBB International market Suleja, Niger State. The study made use of survey method as its methodology and through the use of questionnaire and KII the study collected primary data from sample respondents made up of small business owners in the market and officials of the SME/Microfinance Agency Niger State. The study found basically, that SMEs were highly affected by the lockdown imposed on business and movement as a result of the Covid-19 pandemic by depleting revenues and profits. The study also found that, SMEs faced the challenge of accessing goods, due to lack of supplies. They also faced the challenges affecting supply chain relationships and structure which led to reduction in trade relationships. The study recommended that the Federal Government of Nigeria should set aside emergency fund targeting SMEs in the country. Deferment of taxes or waiver of taxes, lower interest rate could also be embarked on by the appropriate policy makers to make SMEs remain afloat during and after COVID-19 pandemic.