Times Of Swaziland: BUSINESSES RECORDED NEGATIVE GROWTH OF 58% IN 2020

BUSINESSES RECORDED NEGATIVE GROWTH OF 58% IN 2020
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Nhlanganiso Mkhonta on 29/05/2024 10:13:00


MBABANE – A study on the impact of COVID-19 and the Ukraine crisis on MSMEs
has reflected that businesses experienced a significant decrease in sales
revenue in 2020.
This was due to the impact of COVID-19 and they recovered in 2021. However,
growth slowed in 2022. The study has reflected that businesses were hit hard in
2020 with revenues recording a negative growth of 58 per cent. The study was
conducted by the United Nations Economic Commission for Africa Sub-regional
Office – Southern Africa and the findings were presented yesterday at Business
Eswatini (BE) offices by Lunga Simelane. For the purpose of the study, a total
of 283 micro, small and medium enterprises (MSMEs) participated in the survey
across the four regions of the country.
This country report is one of reports assessing the impact of COVID-19 and the
Ukraine crisis across the member states of ECA SRO-SA, which are Angola,
Botswana, Eswatini, Lesotho, Malawi, Mauritius, Mozambique, Namibia, South
Africa, Zambia and Zimbabwe. It is worth noting that the countrywide shutdowns
implemented in 2020 proved to have adverse effects on businesses’ sales
revenue. There was to be a resurgence in 2021 in revenues from sales with a 50
per cent growth recorded by MSMEs. This growth coincided with the relaxations on
some of the restrictions that were in force for the whole of 2020. In 2021,
trade started stabilising as the early batches of the vaccine proved fit for
purpose in terms of reducing fatalities and hospitalisation rates. It was
reported that businesses began trading again as soon as restrictions were eased
by government, which was also consistent with an early rapid uptake of the
vaccine.