Notes From Zaria City: Notes From Zaria City: The Hypothetical Economic Crisis Engender By Covid 19 In Nigeria

1. According to Phil Harding, “ According to Phil Harding, “ without environmental sustainability, economic stability and social cohesion cannot be achieved”. Similarly, according some thought “ It is a recession when your neighbor loses his job; it is a depression when you lose your own”. The entire world has never scrutinized the total lock down till the existence of this pandemic Conoro virus that irk the people. This will unequivocally impinge the economy of the world and more specifically Africa nations.

The rapid epidemic of the Covid 19 present a dangerous health dilemma that the world is fighting with. In addition to human impact, there is also significant economic, business and commercial impact being felt globally. So, as Covid 19 know no boarder, the impacts will continue to spread. In fact, 94% of fortune one thousand across the global, and businesses in Nigeria have been impacted and are already seeing Covid 19 severance.

People around the world expect that Covid 19 menace will eventually achromatize it impacts, as Ebola, Lasa, Zika and Acute Respiratory Syndrome (SARS) viruses have in recent years. However, the rate at which it’s increasing may be nearly geometrical and social impact will still fondle long after virus perish.

It is a holler for any government to lock down it’s economy, but that’s what’s happening today by virtue of the pandemic Covid 19. The universal quarantine due to the Covid 19 has compelled to the loss of incomes, jobs, opportunities, connections, and almost everything in this planet.

Paradoxically, number of hospitals should out number the worship centers in Nigeria. Government has to grubstake the sequestration of people in form of social tranquility, fund for the circumscription, abeyance, and elixir of the Covid 19, and finance for the revival of the hibernated economy. All these in the presence of the worst oil revenue slumps in twenty years, and a period when every country are assaying to sustain and external aids are not inevitable.

This crisis is unique and is quite different from 2008 economic meltdown. Let me some conspicuous analysis, Can the Nigerian government bear those costs and what’s the Nigerian best pledge? How to regulate the Covid 19 economic outbursts and How distinctive the prevailing economic cataclysm is from the 2008 global bankruptcy?

It is unassailable that, more than half of the total jobs opportunities in Nigeria is being adrift. Meanwhile, people capitulate their work without social stability and are being forced to sojourn at home. According to Guardian Newspaper, “ investors in Nigeria lose N2.3 trillion Naira in the three weeks of first Covid 19 cases.

“Specifically, the market capitalization of listed equities, which stood at 13657 trillion Naira as at Friday, February 28, 2020, depreciated by 2.349 trillion Naira to 11.308 trillion Naira, while the all share index which measures the performance of quoted companies closed at 21,700.98 from 26,212.46 representing 4,515.48 points or 20.8% drop”

Furthermore, the economic paralyses are widening even accelerating than the pandemic. The aftermath of these and numerous other economic torpidity engendered by the neoteric Covid 19 will spontaneity a scar and recoil around economics even in the consequences of the pandemic.

The disparity is becoming spacious, it requires fillers by the day. Financial bestowals made so far in Nigeria by public, business moguls, and private individual to combat Covid 19 is circumalatively to over 30 billion Naira. This is an opportunity to have more Covid 19 testing centers and also may be fund researches for the development of its cure.

How to regulate the economic meltdown caused by Covid 19 is quite distinctive by how Nigerian government managed the world economic recession back in 2008. The global economic crisis of 2008 was however different in numerous respects from the crises the global economy has been experiencing for the past five decades. Markets and economics are now more interconnected than ever which made the crisis different in scale and scope.

Moreover, the crisis would provide reason for commentators and public affairs analysts to pass a damning verdict on the economist and banking profession and equally force a rethink of the market fundamentalism cum liberalization principles that had been shaping economic policies for the past four decades. Not only just few economists predict the crisis.

In contrast, the recession caused by Covid 19 is peripheral to economy, abrupt, skyrocketing and more caustic. It has embedded the economy on bind. The money that could be used to invigorate the economy has to be allocated to fund the management of the pandemic and for social protections during the economic hold on. The loss of jobs in the current crisis is more than ten times than that of 2008 economic perplexity.

Similarly, in the 2008 climacteric, the oil price did not plummet to as far low as below $20 per barrel as it is now, the nethermost it reached then was $32 per barrel. So, that means, there were reasonable revenue to fund that readjustment. The current exigency came with two phases: Sharp escalation in demand for government spending and a deep decline in government revenue. When we eventually debut to go for another war which I may call it economic repel!

The effect of these shutdowns and lock downs will reiterate after the pandemic and might cause some social and economic controversy, which require rectification too. The government need to spend more money this time around to recover the economy too. According to the United Nation, developing countries would need $2.5 trillion to combat Covid 19 and rescue package to revive their economies. For Nigeria for instance, it needs at least $100 billion to rescue.

Our best anticipation in Nigeria is to do our best to desist the spread because the more it spreads, the longer it last, and the more we display ourselves to sedate dangers ahead. It is cheaper for us to do everything possible to end the pandemic Covid 19 in just month. Let us target the end of April. Nonetheless, with the increasing rate of new cases, it is not encouraging.

As this Covid 19 become more devastated, everyone has taken this pandemic as a privy economic misfortune because it is a trap, we all plunge in. Think about Taxi and bus drivers, restaurants, hotel, barbers, laborers, airlines, social and sporting centers and other informal and semi formal businesses in this crucial time, it is actually tribulation.

Finally, digital financing solutions are among the strategies that are pertinent to reinforce Nigeria’s economy as well as providing unbanked populations with economical access to credit, the improved technology display outstanding traceability and accountability, which could assist to create a more transparent ecosystem in the future.

Abbas Harun wrote from Zaria City, Kaduna state “ It is a recession when your neighbor loses his job; it is a depression when you lose your own”. The entire world has never scrutinized the total lock down till the existence of this pandemic Conoro virus that irk the people. This will unequivocally impinge the economy of the world and more specifically Africa nations.

The rapid epidemic of the Covid 19 present a dangerous health dilemma that the world is fighting with. In addition to human impact, there is also significant economic, business and commercial impact being felt globally. So, as Covid 19 know no boarder, the impacts will continue to spread. In fact, 94% of fortune one thousand across the global, and businesses in Nigeria have been impacted and are already seeing Covid 19 severance.

People around the world expect that Covid 19 menace will eventually achromatize it impacts, as Ebola, Lasa, Zika and Acute Respiratory Syndrome (SARS) viruses have in recent years. However, the rate at which it’s increasing may be nearly geometrical and social impact will still fondle long after virus perish.

It is a holler for any government to lock down it’s economy, but that’s what’s happening today by virtue of the pandemic Covid 19. The universal quarantine due to the Covid 19 has compelled to the loss of incomes, jobs, opportunities, connections, and almost everything in this planet.

Paradoxically, number of hospitals should out number the worship centers in Nigeria. Government has to grubstake the sequestration of people in form of social tranquility, fund for the circumscription, abeyance, and elixir of the Covid 19, and finance for the revival of the hibernated economy. All these in the presence of the worst oil revenue slumps in twenty years, and a period when every country are assaying to sustain and external aids are not inevitable.

This crisis is unique and is quite different from 2008 economic meltdown. Let me some conspicuous analysis, Can the Nigerian government bear those costs and what’s the Nigerian best pledge? How to regulate the Covid 19 economic outbursts and How distinctive the prevailing economic cataclysm is from the 2008 global bankruptcy?

It is unassailable that, more than half of the total jobs opportunities in Nigeria is being adrift. Meanwhile, people capitulate their work without social stability and are being forced to sojourn at home. According to Guardian Newspaper, “ investors in Nigeria lose N2.3 trillion Naira in the three weeks of first Covid 19 cases.

“Specifically, the market capitalization of listed equities, which stood at 13657 trillion Naira as at Friday, February 28, 2020, depreciated by 2.349 trillion Naira to 11.308 trillion Naira, while the all share index which measures the performance of quoted companies closed at 21,700.98 from 26,212.46 representing 4,515.48 points or 20.8% drop”

Furthermore, the economic paralyses are widening even accelerating than the pandemic. The aftermath of these and numerous other economic torpidity engendered by the neoteric Covid 19 will spontaneity a scar and recoil around economics even in the consequences of the pandemic.

The disparity is becoming spacious, it requires fillers by the day. Financial bestowals made so far in Nigeria by public, business moguls, and private individual to combat Covid 19 is circumalatively to over 30 billion Naira. This is an opportunity to have more Covid 19 testing centers and also may be fund researches for the development of its cure.

How to regulate the economic meltdown caused by Covid 19 is quite distinctive by how Nigerian government managed the world economic recession back in 2008. The global economic crisis of 2008 was however different in numerous respects from the crises the global economy has been experiencing for the past five decades. Markets and economics are now more interconnected than ever which made the crisis different in scale and scope.

Moreover, the crisis would provide reason for commentators and public affairs analysts to pass a damning verdict on the economist and banking profession and equally force a rethink of the market fundamentalism cum liberalization principles that had been shaping economic policies for the past four decades. Not only just few economists predict the crisis.

In contrast, the recession caused by Covid 19 is peripheral to economy, abrupt, skyrocketing and more caustic. It has embedded the economy on bind. The money that could be used to invigorate the economy has to be allocated to fund the management of the pandemic and for social protections during the economic hold on. The loss of jobs in the current crisis is more than ten times than that of 2008 economic perplexity.

Similarly, in the 2008 climacteric, the oil price did not plummet to as far low as below $20 per barrel as it is now, the nethermost it reached then was $32 per barrel. So, that means, there were reasonable revenue to fund that readjustment. The current exigency came with two phases: Sharp escalation in demand for government spending and a deep decline in government revenue. When we eventually debut to go for another war which I may call it economic repel!

The effect of these shutdowns and lock downs will reiterate after the pandemic and might cause some social and economic controversy, which require rectification too. The government need to spend more money this time around to recover the economy too. According to the United Nation, developing countries would need $2.5 trillion to combat Covid 19 and rescue package to revive their economies. For Nigeria for instance, it needs at least $100 billion to rescue.

Our best anticipation in Nigeria is to do our best to desist the spread because the more it spreads, the longer it last, and the more we display ourselves to sedate dangers ahead. It is cheaper for us to do everything possible to end the pandemic Covid 19 in just month. Let us target the end of April. Nonetheless, with the increasing rate of new cases, it is not encouraging.

As this Covid 19 become more devastated, everyone has taken this pandemic as a privy economic misfortune because it is a trap, we all plunge in. Think about Taxi and bus drivers, restaurants, hotel, barbers, laborers, airlines, social and sporting centers and other informal and semi formal businesses in this crucial time, it is actually tribulation.

Finally, digital financing solutions are among the strategies that are pertinent to reinforce Nigeria’s economy as well as providing unbanked populations with economical access to credit, the improved technology display outstanding traceability and accountability, which could assist to create a more transparent ecosystem in the future.

Abbas Harun wrote from Zaria City, Kaduna state