Effects of Covid-19 Pandemic Lockdown on Small and Medium Scale Enterprises (SMEs) in Anyigba, Dekina Local Government Area of Kogi State, Nigeria

Abstract

What came up in late 2019 as a health issue, later affected the economic and social sectors due to the lockdown-related measure imposed to reduce its spread. It is on this foundation that this study attempt to examine the effect of covid-19 pandemic lockdown on small and medium-scale enterprises (SMEs) in Anyigba, Dekina Local Government Area of Kogi State. The objectives of the study identified the various types of small and medium-scale enterprises, examined the financing system of the enterprises, assessed the significance of SMEs to rural areas and identified the challenges facing the growth and coping strategies of the SMEs during and after covid-19 Pandemic. 400 copies of the questionnaire were administered across the study area and 388 copies were retrieved back. The study used both descriptive and inferential statistic research methods, the descriptive statistic involved the use of tables, frequencies and percentages, while inferential statistic involved the use of chi-square. The results from the study showed that 61.3% of respondents strongly agreed that the lockdown negatively affected and reduced small and medium-scale enterprises because some of them had to close down, while some had to cut down production and staff strength. The majority of the respondents showed displeasure at the response of the government in providing help for them to cope with the lockdown. The lockdown also affected consumption levels; brought about food insecurity, decreased in standard of living, education and some lost their jobs. The study therefore recommends that local, state and federal government should give adequate attention to small and medium-scale enterprises to ease the hardship faced by people as a result of the pandemic even after the pandemic.