Increasing need for loans and grants by Nigerian businesses to cope with COVID- 19 pandemic

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Businesses are opening at a steady rate, but customers still aren’t coming back. Businesses are less impacted by closures – COVID-19 related closures are down to 24% compared to 57% of businesses in early August, However, we aren’t seeing movement in the demand space – still 67% of businesses say they are serving no or few customers.

Incomes continue to decrease, while the percent of unemployed is rising. 72% of GEEP clients say their incomes have “very much decreased”, a figure which has continued to slightly rise since we began doing this research, It has been accompanied by the slight rise in those who are unemployed as a result of the pandemic, from 2% in early August to 9% now.

While some want new loans and terms, most say they need grants. When we ask clients what they need to improve their lives during this time, 21% say they’d like a loan for their business, and 8% want a larger loan. However, 60% asked for a cash handout.