By
CEO
christopher jennifer Phebemi
HEALTH
CORONAVIRUS PANDEMIC AND POVERTY NIGERIA
Due to the escalating global economic impact of the pandemic, many economies around the globe have witnessed reduced economic activities.The corona virus disease (COVID-19), which originated in China, has spread to several countries and territories. Many economies around the globe have witnessed reduced economic activities in the first quarter of the year.Industrial facilities have been shut down in some affected countries, and the global supply chain has been disrupted. Brent crude prices have fallen below $22 per barrel the lowest since 2003 due to the escalating global economic impact of the COVID-19 pandemic and the price war between Saudi Arabia and Russia.Nigeria, the most populous country in Africa, is awakening to a new economic and social reality as a result of the COVID-19 crisis. The country of over 192 million people, recorded its first case on February 28, 2020. Since then, it has recorded about 10,162 cases and 287 deaths COVID-19 related deaths as of 31st may 2020.While the virus infects people regardless of wealth and social status, the poor will be most affected. In 2019, Nigeria surpassed India in terms of the number of people living in abject poverty. With a recession looming as a result of the pandemic, that number will only grow if proper measures are not enacted. Ogunpolu (2020)Living in typically high-density houses, with reduced access to sanitation, and a lack of savings to facilitate self-isolation, Nigerias poor are at greater risk of contracting the disease. More so, due to the high cost of health care, greater economic fragility, and higher mortality rates, we are bound to see many more Nigerians fall below the poverty line before this is over.Few months ago, the Lagos State government banned the use of tricycles and bikes. The immediate and most significant impact was the sudden rise in unemployment. The ban affected about 14,000 bike-hailing employees and about 50,000 tricycles and informal motorcycle riders. A further strain on incomes resulting from the COVID-19 pandemic will devastate workers. To reduce unemployment and poverty, which are inevitably linked to this pandemic, it is imperative that policymakers provide relief packages tailored particularly to Nigerias vulnerable citizens. Nigeria needs to ease the financial burden ensuing from the lockdown, and cushion the aftermath of the pandemic. THE WAY FORWARDIt is no news that the COVID-19 pandemic will disrupt the global and Nigerian economy in 2020. However, Nigeria can cushion the impact of the virus by introducing measures to protect companies and their workers, most especially the vulnerable citizens, from the impact of the quarantine measures. Such measures could include:
Unemployment benefitsEmployment retentionSocial assistance benefitsFinancial support and tax reliefWhile these measures will not single-handedly contain the pandemic, it will encourage the citizenry to stay at home, reduce the spread, and also help reduce the level of unemployment, day-light robbery, and poverty ensuing from the pandemic.