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The COVID-19 crisis has hit the region at a time when many economies have already been limping their way through a wide range of long-standing downturns, structural problems and fragilities. Following a series of largescale protests in 2011 calling for economic and political reforms, countries such as Libya, Syria and Yemen have slid into civil arm...
Contexts in source publication
Context 1
... OICs subregion has experienced positive annual GDP growth rates of 1.6 percent since the 2008 financial crisis compared with a near zero (and declining rate of 0.1 percent for OECs; see Figure 5). However, the group of middle-income EAP (6.4 percent) countries significantly outperforms both oil-exporting and importing countries. ...
Context 2
... all MSMEs agreed that the measures implemented by the government in response to COVID-19 were appropriate (see Figure 49). When asked to assess the action taken by the government, the majority of respondents said that it had both positive and negative effects: while it preserved public health (32.4 percent of MSMEs) and it prevented the virus outbreak (21.7 percent), it also resulted in shop closures, the curfews have affected businesses/livelihoods (17.9 percent), and there has not been support for citizens (salaries, food aid) (12.8 percent) (see Figure 50). In terms of the government support needed to improve businesses, access to finance ranked top for micro-and small enterprises, followed by availability of raw materials for production and services, utilities and security (see Figure 51). ...
Context 3
... firms in the capital, Mogadishu, and trade-based firms with an export focus were the hardest hit, with 50-60 percent of businesses in these categories temporarily suspending operations between mid-March and July 2020. Similarly, the Heritage Institute for Policy Studies (HIPS)' "Impact of COVID-19 on the Economy" survey, which was conducted at the end of July 2020, reports that 45 percent of businesses were fully operating but had employees working from home, 29 percent were fully operating, 15 percent were partially operating and 11 percent were closed (2020) (Figure 55). A rapid assessment of Somali women-led businesses carried out by the government shows that the COVID-19 pandemic has drastically affected women in small businesses. ...
Context 4
... the same period, sales contracted by 32 percent and some 90 percent of firms reported liquidity and cash flow shortages, leading to delayed payments (Somalia, Ministry of Commerce and Industry et al., 2020). Figure 56 presents the results for small, medium-sized and large enterprises by sector of engagement, declaring decline in sales, compared with 2019. Some 70 percent of respondents faced supply and input disruptions, including both raw materials or finished goods purchased for resale. ...
Context 5
... the informal sector where access to finances is heavily restricted, such a luxury was not afforded. The survey reports that established businesses (i.e. 10 years or older) were harder hit than newly established enterprises, perhaps reflecting their greater integration into market structures with more established clients, dependencies and contingent liabilities (see Figure 57). Established companies in the export industry operating out of Beledweyne were among the worst affected by the crisis. ...
Context 6
... has not been easy, not least because the crisis has shifted from a health crisis into one affecting global economic and trading relations. Adaptations have taken various forms, ranging from adjustments to products and services produced, adjustments to delivery mechanisms, increased use of online business activity, and employment-related adjustments (see Figure 59). ...
Context 7
... in most of the federal member state towns, businesses expected sales to return to normal in around six months, and a return to prior levels of staffing after a year. Perhaps as important as time expected to return to normal sales is how long businesses expect to survive if sales stop (with their costs unchanged) (see Figure 65). This was 3.7 months on average, with medium-size businesses having greater liquidity than small and large businesses, and foreign firms had almost double the ability to survive should their entire industry stop. ...
Context 8
... OICs subregion has experienced positive annual GDP growth rates of 1.6 percent since the 2008 financial crisis compared with a near zero (and declining rate of 0.1 percent for OECs; see Figure 5). However, the group of middle-income EAP (6.4 percent) countries significantly outperforms both oil-exporting and importing countries. ...
Context 9
... all MSMEs agreed that the measures implemented by the government in response to COVID-19 were appropriate (see Figure 49). When asked to assess the action taken by the government, the majority of respondents said that it had both positive and negative effects: while it preserved public health (32.4 percent of MSMEs) and it prevented the virus outbreak (21.7 percent), it also resulted in shop closures, the curfews have affected businesses/livelihoods (17.9 percent), and there has not been support for citizens (salaries, food aid) (12.8 percent) (see Figure 50). In terms of the government support needed to improve businesses, access to finance ranked top for micro-and small enterprises, followed by availability of raw materials for production and services, utilities and security (see Figure 51). ...
Context 10
... firms in the capital, Mogadishu, and trade-based firms with an export focus were the hardest hit, with 50-60 percent of businesses in these categories temporarily suspending operations between mid-March and July 2020. Similarly, the Heritage Institute for Policy Studies (HIPS)' "Impact of COVID-19 on the Economy" survey, which was conducted at the end of July 2020, reports that 45 percent of businesses were fully operating but had employees working from home, 29 percent were fully operating, 15 percent were partially operating and 11 percent were closed (2020) (Figure 55). A rapid assessment of Somali women-led businesses carried out by the government shows that the COVID-19 pandemic has drastically affected women in small businesses. ...
Context 11
... the same period, sales contracted by 32 percent and some 90 percent of firms reported liquidity and cash flow shortages, leading to delayed payments (Somalia, Ministry of Commerce and Industry et al., 2020). Figure 56 presents the results for small, medium-sized and large enterprises by sector of engagement, declaring decline in sales, compared with 2019. Some 70 percent of respondents faced supply and input disruptions, including both raw materials or finished goods purchased for resale. ...
Context 12
... the informal sector where access to finances is heavily restricted, such a luxury was not afforded. The survey reports that established businesses (i.e. 10 years or older) were harder hit than newly established enterprises, perhaps reflecting their greater integration into market structures with more established clients, dependencies and contingent liabilities (see Figure 57). Established companies in the export industry operating out of Beledweyne were among the worst affected by the crisis. ...
Context 13
... has not been easy, not least because the crisis has shifted from a health crisis into one affecting global economic and trading relations. Adaptations have taken various forms, ranging from adjustments to products and services produced, adjustments to delivery mechanisms, increased use of online business activity, and employment-related adjustments (see Figure 59). ...
Context 14
... in most of the federal member state towns, businesses expected sales to return to normal in around six months, and a return to prior levels of staffing after a year. Perhaps as important as time expected to return to normal sales is how long businesses expect to survive if sales stop (with their costs unchanged) (see Figure 65). This was 3.7 months on average, with medium-size businesses having greater liquidity than small and large businesses, and foreign firms had almost double the ability to survive should their entire industry stop. ...
