Dun & Bradstreet Launches New COVID-19 Impact Index

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Dun & Bradstreet Launches New COVID-19 Impact Index

Dun & Bradstreet, a leading global provider of business decisioning data and analytics, today introduced the COVID-19 Impact Index, a new resource – based on client feedback – that addresses the urgent needs of business leaders to better understand the real-time impacts of the pandemic on companies and their network of suppliers and customers.

Following the movement of the virus across the U.S., Dun & Bradstreet concludes that while 90 percent of businesses across the U.S. have been impacted, 43 percent of businesses in the high impacted states of New York, New Jersey and Pennsylvania, are most challenged to continue operations as a result of the pandemic’s impact in their area at this time.

Industries with the highest impact include restaurants and socialization places, beauty shops, merchandise retailers, and real estate, due to government-enforced non-essential business shutdowns. Inversely, 83 percent of businesses across Wyoming, Minnesota and Vermont have seen a low level of disruption to their commercial operations. Lowest risk industries in these states include business services, farming and single-home contracting.

“Companies of all sizes are being bombarded by crisis management tactics on a daily basis, but what our clients are challenged to see is how this pandemic is taxing their own operations, including their network of partners, customers and suppliers,” said Brian Alster, General Manager, Third-Party Risk & Compliance.

“With Dun & Bradstreet’s COVID-19 Impact Index, clients are able to see – for the first time – the ripple effect that the pandemic has had across their entire global network – down to the companies and specific regions in which they operate. This level of granularity can greatly change the way companies view their plans for stabilization and growth.”

The Dun & Bradstreet COVID-19 Impact Index supplements Dun & Bradstreet’s risk scores and provides a view of the potential impact of the pandemic on a business’ operational activity, as well as its network of suppliers and customers.

The Index is based on the evolving local conditions of the pandemic and ranks business entities with respect to one another. The Index compliments other decision-making data and resources to help inform the following use cases:

  1. Identification of suppliers that present significant potential supply chain disruption

  2. Counterparty credit risk and collections prioritization

  3. Revenue protection and sales prospect prioritization

The new Index ranks a company’s level of risk and potential business disruption on a scale of 1 (highest risk) to 100 (very low risk) based on four factors:

  • Location Impact – An assessment of a business’ site and corporate family locations subject to a variety of government-enforced restrictions, weighted by the number of locally confirmed cases and growth rates.
  • Industry Impact – The impact to a business based on industry classification and whether it is identified as an essential or non-essential business, with further specification on its ability to operate remotely or with a physical presence.
  • Company Health Impact – An assessment of a company’s health using existing Dun & Bradstreet predictive scores, which are a predictor of a business’ ability to survive post-disaster.
  • Network Impact – A holistic view that connects businesses with their network of customers, suppliers, or other third parties using Dun & Bradstreet proprietary data.

The COVID-19 Impact Index is available in North America and is expected to launch in the U.K. and other regions in the coming weeks.

BrandZ Retail Ranking shines spotlight on brands most resilient to impacts of coronavirus

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BrandZ Retail Ranking shines spotlight on brands most resilient to impacts of coronavirus

  • The total value of BrandZ Top 75 Most Valuable Global Retail Brands reaches $1.5 trillion

  • Amazon grows 32% to $415.9 billion to remain the world’s most valuable retail brand, commanding 27% of the Top 75’s total brand value

  • Coronavirus highlights the sector’s pivotal role in the global economy as retailers face supply and demand challenges that require innovation and agile response

London – The third annual BrandZTM Top 75 Most Valuable Global Retail Brands Ranking, unveiled today by WPP and Kantar, reveals that the value of the world’s top 75 retail brands has grown 12% to $1.5 trillion in the past year. The report is being launched in conjunction with the World Retail Congress.

The report provides an indication of the brands that are most likely to prevail in a post-coronavirus market and uses valuations data incorporating stock price performance from April 2020 to reflect the impact of COVID-19. It also drives home to the retail sector’s pivotal role in the global economy as brands to respond to shifts in consumer behaviour while facing business-critical changes to supply and demand and a restricted ability to trade.

BrandZ is the only brand valuation ranking to combine analysis of retailers’ financial performance with the opinions of millions of consumers surveyed in more than 51 markets around the world. Historical BrandZ data confirms that brands with the strongest brand equity recovered nine times faster following the financial crisis of 2008.

“The coronavirus crisis underscores the essential role that retail plays in both our daily lives and the overall global economy; we are seeing some heroic examples of retail companies stepping up to meet consumer needs and keep the world turning. While this is a fast-moving and ongoing story, the report allows us to show the businesses that, having invested in becoming a strong brand, are potentially better able to withstand the current shock. Twenty-two years of BrandZ data analysis consistently confirms that strong brands help their businesses to survive turbulent times,” said David Roth, CEO of The Store WPP EMEA and Asia and Chairman of BrandZ.

The 2020 BrandZ retail report highlights the actions agile and innovative retail brands are taking to make a difference to the lives of people confined to their homes and forced to change their habits; experience and data show brands that maintain their visibility in a relevant and sensitive way throughout a crisis are best-placed for a faster recovery.

The top retailers in the 2020 ranking illustrate the scale and breadth of activity making brands meaningfully different and salient to consumers in the coronavirus age: Amazon (No. 1, $415.9 billion) is managing demand and reducing its speed of delivery to prioritize key products; Alibaba (No. 2, $152.5 billion) subsidiary Ali Cloud used its AI expertise to help medics in China significantly shorten the coronavirus diagnosis time; Louis Vuitton (No.5, $51.8 billion) parent company LVMH took only 72 hours to convert its production lines to make hand sanitizer; and Chinese e-commerce brand JD (No. 13, $25.5 billion) delivered medical supplies and food using its extensive distribution network.

Athletic apparel company Lululemon (No. 25, $9.7 billion) grew 40% to become the ranking’s highest riser; current activity includes offering online training programs, a purposeful marketing tactic to keep it front-of-mind that has also been adopted by Adidas (No. 18, $14.8 billion).

Otherwise, the fastest riser category is dominated by pure retail as grocery outlets see a boom in demand as people stock up. Unsurprisingly, the digital-native brands scored highly – Amazon, JD and Alibaba were up 32%, 24% and 16% respectively – but physical retail veterans also showed their ability to adapt to an online-only environment. Costco (No. 11 $28.7 billion) grew 35%, Target (No. 23, $10.6 billion) was up 27%, Walmart (No. 8, $45.8 billion) increased 24% and Sam’s Club (No. 36, $6.8 billion) rose 19%.

Smart retailers are also resisting the temptation to cut back on advertising investment, learning lessons from China were brands that ‘went dark’ are struggling to reconnect during the early stages of recovery as consumers opt for those that actively demonstrated support. Marketing is being adapted as people are confined to staying indoors, with the tone of voice being as important as the media mix.

Graham Staplehurst, Global Strategy Director for BrandZ at Kantar, said: “Brand value isn’t just determined by financial performance, but also by reputation in the eyes of consumers. How retailers behave now in terms of helping people through the crisis, as well as the way in which they treat their staff and whether they comply with government and health advice, will be important to their survival. Those that have actively demonstrated their relevance and usefulness and continue to do so as consumers’ lives start to get back to normal, will be best-placed to strengthen customer relationships both in the recovery phase and the long-term.”

The BrandZ Top 10 Most Valuable Retail Brands 2020

Rank 2020BrandBrand value 2020 ($bn)CategoryRank 2019
1Amazon415.9Retail1
2Alibaba152.5Retail2
3McDonald’s129.3Fast Food3
4The Home Depot57.6Retail4
5Louis Vuitton51.8Luxury6
6Nike50.0Apparel5
7Starbucks47.8Fast Food7
8Walmart45.8Retail9
9Chanel36.1Luxury8
10Hermès33.0Luxury10


Highlights in this year’s BrandZ Retail ranking include:

  • The strongest got stronger: The Top 10 brands in the ranking outpaced the rest of the sector, posting an average rise in brand value of 16.4%. Amazon’s growth sees it account for 27% of the Top 75’s total brand value while robust performances by other Top 10 brands such as Alibaba show that strong brands can do more than get by; they can redefine what is possible.
  • Sector leaders continued to dominate: McDonald’s (No. 3, $129.3 billion) is by far the most valuable Fast Food brand in the world, although others enjoyed rapid growth, thanks largely to delivery and other service innovations such as AI-powered suggestions at drive-throughs and delivery partnerships behind incremental orders. Louis Vuitton is the most valuable Luxury brand, with a new global flagship store in Seoul and creative partnerships with major artists while Nike (No. 6, $50.0 billion) leads the Apparel category with e-commerce, product customization and collaborations driving strong sales.
  • Five new entrants: Three Japanese brands make their debut in this year’s ranking; online fashion store Zozotown (No. 52, $4.5 billion), retail network Aeon (No. 64, $2.9 billion), and convenience store company Family Mart (No. 75, $2.4 billion). China’s e-commerce platform Pinduoduo (No. 26, $9.4 billion) is the highest new entry, following the success of its online group-buying model; Bunnings hardware chain from Australia (No. 69, $2.7 billion) is the fourth new entry.

The Top 75 Most Valuable Global Retail Brands was due to be launched at the 2020 World Retail Congress (WRC), originally scheduled for 28 April and now taking place 28-30 October. BrandZ continues to partner with WRC, launching the retail report via a bespoke digital experience.

Ian McGarrigle, Chairman of the World Retail Congress, said: “Retail has been on the frontline during the coronavirus lockdown, with millions of workers putting themselves at risk to serve their communities. Without their selfless effort, the situation would be much worse and consumers will remember the brands and the staff who enabled society to continue to function. It highlights retail’s undisputed place at the cornerstone of people’s lives all around the world.”

MTN Nigeria made ₦51 billion profit and Gained 4.2 Million New Subscribers in Q1 2020

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MTN Nigeria made ₦51 billion profit and Gained 4.2 Million New Subscribers in Q1 2020

MTN Nigeria announced a profit after tax of ₦51 billion in Q1 2020 – a 6% increase compared with Q1 2019. This increase was largely driven by revenue from data subscriptions, which rose to ₦74 billion – a 60% increase compared with Q1 2019. Revenue from data subscriptions is expected to further increase this quarter (Q2 2020) as workers in many parts of Nigeria are working remotely due to the coronavirus outbreak.

  • Revenue grew by 16.7% to N329bn from N282bn in the previous quarter.

  • Profit before tax grew by 8.9% to N76bn.

  • Profit after tax grew by 5.6% to N51bn.

  • Net Assets grew by 35.3% to N196bn from N145bn.

Service revenue rose by 16.7 percent year on year to NGN 328.5 billion, driven by voice and data revenue. Net profit increased by 5.6 percent to NGN 51.15 billion from NGN 48.44 billion in Q1 2019 and earnings per share increased by 5.6 percent to NGN 0.025.

EBITDA grew by 15.3 percent year on year to NGN 173.5 billion resulting in an EBITDA margin of 52.5 percent, an increase of 0.6 percentage points. Mobile subscribers increased by 4.2 million to 68.5 million, an increase of 7.4 percent. Active data users increased by 1.7 million to 26.8 million and data revenue grew by 59.2 percent. The performance was achieved against the backdrop of several developments during the quarter. Value-added tax (VAT) was increased in February from 5.0 percent to 7.5 percent, which adversely affected both revenue and costs.

MTN Nigeria said mobile subscribers increased by 4.2 million to 68.5 million, an increase of 7.4 percent.

MTN Nigeria’s Chief Executive Officer, Ferdi Moolman, said data revenue increased by 59.2 percent due to growth in data traffic and the addition of 1.7 million active Internet subscribers to the network during the quarter.

The situation has been exacerbated by upheavals in the global oil market, which put significant downward pressure on oil prices, leading to an exchange rate adjustment by the Central Bank of Nigeria on 20 March, increasing some of the operator’s costs. In addition, a series of lockdown measures began being implemented globally in response to the Covid-19 pandemic, resulting in significant operational challenges and supply chain disruptions.

What Worries The World: Coronavirus Dominates Global Worries – Report

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What Worries The World: Coronavirus Dominates Global Worries – Report

COVID-19 overtakes all other issues in Ipsos’ What Worries the World survey with the highest level of concern recorded for any category since the series began.

What worries the world?

Given the coronavirus pandemic, Ipsos has included coronavirus/COVID-19 in its regular What Worries the World monitor. April’s results, which give us the first reading, show that coronavirus/COVID-19 is by far the top worry around the world, and is in first place in 24 of the 28 countries surveyed.

When asked about the most important issues facing their country today, 61% of respondents across all countries cite COVID-19, with the highest scores seen in Malaysia (85%), Great Britain (77%) and Australia (74%).

These scores for COVID-19 are the highest seen on any issue since What Worries the World started running 10 years ago. The other issues making up the top 5 global concerns are Unemployment, Healthcare, Poverty/social inequality and Financial/political corruption.

Coronavirus – the issue of the day

Coronavirus is clearly overshadowing all else at this time, and we see that since the start of the year concern about Poverty/social inequality and Crime and violence has dropped while the proportions worried about Unemployment and Healthcare are on the increase – particularly in Spain.

The highest levels of concern about Unemployment are seen in Spain (60%) and South Africa (58%) closely followed by Italy (56%). This month, Australia enters the top 5 most concerned about this issue (+ 19 points since January to 48%), with other notable increases over the last three months recorded in Israel (+23 to 39%) and the US (+11 to 24%)

The greatest levels of worry about Healthcare are once again reported in Hungary (59%) alongside Poland (51%) and Brazil (46%). Spain is among the nations with a great increase in concern about this issue, up 18 percentage points to 44% since January 2020.

How do we feel about where we’re heading?

We find that a majority of people around the world (54%) feel that their country is heading in the wrong direction. However, this is actually a more positive picture than at the start of the year when this figure stood at 61%.

This may be unexpected considering that the coronavirus crisis has played out over these months, but it could reflect a sense of countries coming together and perhaps a guarded hope that the national lockdowns may be starting to contain the virus and enable affected nations to move closer to recovery.

PepsiCo Shares “Some Good News,” Commits to Raising an Additional $3 million to Provide Financial Support to Restaurant Workers Impacted by COVID-19

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PepsiCo Shares “Some Good News,” Commits to Raising an Additional $3 million to Provide Financial Support to Restaurant Workers Impacted by COVID-19

Eight million restaurant employees have been laid off or furloughed since the beginning of the COVID-19 outbreak. To provide immediate support to impacted workers, PepsiCo and The PepsiCo Foundation committed to raising an additional $3 million for the Restaurant Employee Relief Fund (RERF), spearheaded by the National Restaurant Association Education Foundation (NRAEF) and industry icon Guy Fieri.

The announcement came during the latest episode of “Some Good News,” John Krasinski’s’ digital news show dedicated to sharing positives stories from around the world. The fifth episode celebrated restaurant industry workers, many who have stepped up to keep their communities fed during the crisis even while facing hardships of their own. Krasinski also hosted a virtual potluck with fans and celebrity chefs including Fieri, and surprised him with the news of PepsiCo’s commitment.

“What I loved about sharing this good news is that PepsiCo isn’t just writing a check – they’re bringing together employees, partners and fans to help reach this important goal, increase awareness of this issue and the Restaurant Employee Relief Fund,” said SGN host John Krasinski. “When this is all over, I can’t wait to celebrate at my favourite restaurant and show my gratitude to all of the heroes that work in the industry.”

The Restaurant Employee Relief Fund (RERF) was launched in March by the National Restaurant Association Educational Foundation (NRAEF) and Fieri to provide immediate financial support to industry workers. PepsiCo and The PepsiCo Foundation helped kick off efforts as a $1.5 million founding sponsor of the RERF, with 100% of funds going directly to restaurant employees in need.

To help #RaiseTheRERF, PepsiCo is increasing its initial RERF contribution, double-matching employee donations, and rallying its partners and the public to donate. All efforts are part of PepsiCo’s more than $50 million in COVID-19 relief initiatives, primarily connected to providing food and other vital resources for those in need.

“America’s restaurants have been hit harder than we ever could’ve imagined when we started the Restaurant Employee Relief Fund,” said Fieri, chef, restaurateur, author, and Emmy award-winning television host of Food Network’s Diners, Drive-ins and Dives. “We’ve got a lot of work to do still for our brothers and sisters in the industry so we’re grateful for leaders like PepsiCo that inspire others to get on board and pitch in.”

“We’re mobilizing our full ecosystem of brands, employees, partners and our Foundation to provide relief during the crisis as well as preparing to support restaurants when they’re ready to get back to business,” said Scott Finlow, chief marketing officer, PepsiCo Global Foodservice. “We’re grateful to John Krasinski and Some Good News for highlighting the incredible men and women of the foodservice industry and encouraging people to support them through the RERF.” 

Konga Debuts First Ever Live Online Product Auction In Africa

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Konga Debuts First Ever Live Online Product Auction In Africa

Foremost composite e-commerce giant, Konga has recorded another first in Africa’s e-commerce market, with the launch of a live online product auction.

The initiative, another ground-breaking innovation from Konga, will debut this Friday, May 1, 2020, by 5 pm on its online platform – www.konga.com and across its social media channels – Instagram, Twitter, Facebook and YouTube.  Equally important, the live auction is a monthly feature which will afford eager shoppers a chance to stake their claims for the exciting products on offer on a monthly basis.

Already, anticipation and excitement are sky-high for the debut edition of the auction tagged Konga Last Price.

Prince Nnamdi Ekeh, Co-CEO, Konga Group, says the initiative is further proof of Konga’s boundless strategies to raise the bar in the e-commerce market and excite its customers globally without stories.

‘‘This live online auction across social media and our website is another first from Konga. This is another addition to being the first to pioneer the marketplace structure in the African e-commerce market six years ago for others to follow and the fusion of online and offline in creating a world-class composite retail platform, among others.

‘‘With this live auction – Konga Last Price, the first in Africa, we are further expanding the scope of e-commerce and giving our customer base an additional reason to smile. It has certainly come to stay as a monthly feature and we encourage all Nigerians to join us on the various social media channels and on the Konga website for this exciting initiative. It promises to be a world-class and unforgettable experience, with a huge number of genuine products across categories to be auctioned at mouth-watering prices,’’ he said.

For this inaugural edition, Konga has put up a number of eye-catching products across multiple categories for Nigerians to smile home with after weeks of the lockdown occasioned by the COVID-19 pandemic. Also in store for participants is a surprise product. As a matter of fact, the Konga Last Price live auction will feature three sessions. They include a live auction across its social media channels – Instagram, Twitter, Facebook and YouTube; a timed auction on the Konga website and a flash sale on social media involving no bids which will run concurrently with the social media live auction.

For the latter two – the timed auction on the Konga website and flash sale on social media, price slashes will be announced at the commencement of the live auction. Bid winners will follow the regular check-out process and can use the Payment on Delivery option.

However, intending participants on the social media live auction are expected to submit their bids via comments with their name, phone number, product and bidding price, with each participant allowed to purchase a maximum of three products per category. Subsequently, bid winners will be contacted for payment confirmations via bank transfers at the end of the social media live auction.

NASCON Allied Industries Plc – Rising cost dampens profitability

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NASCON Allied Industries Plc – Rising cost dampens profitability

The Coronavirus pandemic has continued to ravage the global economy with the number of confirmed cases & deaths steadily rising.

In our last note, the number of confirmed cases globally stood at 252,055 cases with 10,405 deaths recorded. However, as at mid-day on 26th April, according to world meters, confirmed cases have climbed to 2,943,582 cases while 203,917 deaths have been recorded. The rate of contagion has led to extreme measures such as total lockdowns, closure of airspace and grounding of non-essential activities being deployed by countries across the world as they fight the spread of Covid-19.

In Nigeria, figures from the Nigerian Centre for Disease Control (NCDC) puts the number of confirmed cases at 1,273 cases with 40 deaths recorded as at 26th April. This is a significant increase in deaths, from 12 cases as at our last communication. Consequently, the lockdown has been effected in other areas beyond FCT and the states of Lagos and Ogun as signs of community transmission are detected.

Economic activity has slowed down as businesses are closed and trade is restricted across various sectors. Nevertheless, we see some sectors with huge potential to record growth during this crisis. Three such sectors have our attention for now, which include; Telecommunications, Healthcare & Pharmaceuticals, and Food & Agriculture.

Telecommunications; Lockdown measures positions sector as the biggest beneficiary

Lockdown measures put in place to curb the spread of the Coronavirus puts the telecoms sector as the biggest beneficiary of the pandemic. Most formal businesses have now moved to work from home, which requires increased data consumption on the part of employees. Also, we note that with individuals sitting at home all day, social media activities have received a significant boost while visits to streaming platforms have become a norm in a bid to provide some sort of entertainment.

Over the past 2 years, the telecoms sector grew 11.3% and 11.4% in real GDP terms in 2018 and 2019, driven by increased smartphone penetration and internet adoption. We expect the sector to record sustained accelerated growth in 2020 on the back of increased internet usage. In this sector, we have 2 stocks listed on the Nigerian Stock Exchange (NSE); MTN Nigeria and Airtel Africa.

Healthcare & Pharmaceuticals; Fiscal & Monetary interventions to provide significant growth support

The healthcare & pharmaceutical industry in Nigeria is expected to be a major beneficiary of the spillover of interventions in the short and long term. The fast-spreading pandemic has led to increased demand for healthcare products such as immune system boosters, protective gloves, face masks, hand sanitizers and other preventive healthcare products. We expect this to support the revenue of healthcare companies in the near term. The big impact is the expected attention the healthcare sector is expected to receive over the next few years, as government and other stakeholders ramp up investments in the sector.

The CBN has laid down the first marker in its series of supportive interventions, amidst several efforts to curb the impact of the COVID-19 outbreak on the Nigerian economy. In its communique on 25th March, the CBN announced the setting up of an N100bn credit support fund targeted at the healthcare sector. The fund would provide working capital loans as well as term loans to healthcare players to support expansion activities, research and similar activities. The loans would come at interest rates of 5% p.a. till 28th February 2021 and climb to 9% p.a. for the rest of the loan duration. We expect these funding measures to provide significant support for the private-led sector like the pharmaceutical industry. Some of the listed healthcare names such as May & Baker, FIDSON, NEIMETH, Union Diagnostics etc. are expected to be at the forefront of these growth initiatives.

Food & Agriculture: Lockdown induced stockpiling to support growth in the near term

Finally, our last pick is the Food and Agriculture sector, which we expect to continue to do well in the face of the challenges posed by the pandemic. The product offerings of this sector are very inelastic and would always feature at the top of the average consumer’s budget. We note that since the announcement of the lockdown measures, we have seen increased stockpiling by consumers ahead of what is expected to remain a lengthy lockdown period, as the Nigerian curve remains far from its peak. Thus, we expect sustained buying by consumers would support retails food sales in the near term. In the longer term, we see some risks as income levels decline and consumers lose their jobs. However, we expect the inelastic and essential nature of these products to sustain growth.

In the agriculture space, policies have been put in place by governments (Federal & Subnational) to aid continued activities of the sector, while ensuring the food supply chain is not disrupted. For example, while inter-state travel across Nigeria has been banned, the government has ensured transportation of agricultural inputs & produce to & from farms are not affected after granting special permits. Furthermore, significant investments are being made in agriculture as efforts continue to be put in place to ensure food sufficiency even as the pandemic continues to ravage on.

FSDH Top Picks: Dangote Cement out, UACN In

Below, we highlight some of our top picks across Agriculture, Telecoms and Banking. It is an update to our prior list which has seen us remove Dangote Cement from the list, given the construction sector would be under significant pressure, which implicitly feeds into the cement sector. We introduce United Africa Company of Nigeria (UACN) as the company has been undergoing significant rebranding and restructuring, which is positioning it for a significant upsurge in value.

ILO: As job losses escalate, nearly half of global workforce at risk of losing livelihoods

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ILO: As job losses escalate, nearly half of global workforce at risk of losing livelihoods

The continued sharp decline in working hours globally due to the COVID-19 outbreak means that 1.6 billion workers in the informal economy – that is nearly half of the global workforce – stand in immediate danger of having their livelihoods destroyed, warns the International Labour Organization.

According to the ILO Monitor third edition: COVID-19 and the world of work, the drop in working hours in the current (second) quarter of 2020 is expected to be significantly worse than previously estimated.

Compared to pre-crisis levels (Q4 2019), a 10.5 per cent deterioration is now expected, equivalent to 305 million full-time jobs (assuming a 48-hour working week). The previous estimate was for a 6.7 per cent drop, equivalent to 195 million full-time workers. This is due to the prolongation and extension of lockdown measures.

Regionally, the situation has worsened for all major regional groups. Estimates suggest a 12.4 per cent loss of working hours in Q2 for the Americas (compared to pre-crisis levels) and 11.8 per cent for Europe and Central Asia. The estimates for the rest of the regional groups follow closely and are all above 9.5 per cent.

Informal economy impact

As a result of the economic crisis created by the pandemic, almost 1.6 billion informal economy workers (representing the most vulnerable in the labour market), out of a worldwide total of two billion and a global workforce of 3.3 billion, have suffered massive damage to their capacity to earn a living. This is due to lockdown measures and/or because they work in the hardest-hit sectors.

The first month of the crisis is estimated to have resulted in a drop of 60 per cent in the income of informal workers globally. This translates into a drop of 81 per cent in Africa and the Americas, 21.6 per cent in Asia and the Pacific, and 70 per cent in Europe and Central Asia.

Without alternative income sources, these workers and their families will have no means to survive.

Enterprises at risk

The proportion of workers living in countries under recommended or required workplace closures has decreased from 81 to 68 per cent over the last two weeks. The decline from the previous estimate of 81 per cent in the second edition of the monitor  (published April 7) is primarily a result of changes in China; elsewhere workplace closure measures have increased.

Worldwide, more than 436 million enterprises face high risks of serious disruption. These enterprises are operating in the hardest-hit economic sectors, including some 232 million in wholesale and retail, 111 million in manufacturing, 51 million in accommodation and food services, and 42 million in real estate and other business activities.

Urgent policy measures needed

The ILO calls for urgent, targeted and flexible measures to support workers and businesses, particularly smaller enterprises, those in the informal economy and others who are vulnerable.

“For millions of workers, no income means no food, no security and no future. […] As the pandemic and the jobs crisis evolve, the need to protect the most vulnerable becomes even more urgent.” – Guy Ryder, ILO Director-General

Measures for economic reactivation should follow a job-rich approach, backed by stronger employment policies and institutions, better-resourced and comprehensive social protection systems. International co-ordination on stimulus packages and debt relief measures will also be critical to making recovery effective and sustainable. International labour standards, which already enjoy tripartite consensus, can provide a framework.

“As the pandemic and the jobs crisis evolve, the need to protect the most vulnerable becomes even more urgent,” said ILO Director-General Guy Ryder. “For millions of workers, no income means no food, no security and no future. Millions of businesses around the world are barely breathing. They have no savings or access to credit. These are the real faces of the world of work. If we don’t help them now, these enterprises will simply perish.”

Foreign Exchange Market: CBN lifts FX suspensions as FG eases lockdown

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Foreign Exchange Market: CBN lifts FX suspensions as FG eases lockdown

On April 29th, 2020, the Central Bank of Nigeria (CBN) published a press release titled “CBN resumes FX sales for SMEs, School Fees.” Recall that the apex bank had initially suspended most of its activities at the FX market on the back of the COVID-19 lockdown. The temporary suspension had spurred heavy demand to the parallel market where naira was being quoted at N460/$ (vs. N386.5/$ at the I&E window). Thus, with lockdown expected to be eased in the following week, the apex bank seems to be gradually restoring activities at the FX market.

In the publication, the CBN noted that it had resumed the provision of FX to all commercial
banks for onward sales to parents wishing to pay schools fees and SMEs wishing to make essential imports needed to revamp economic activities across the country. Also, the CBN noted that it would be resuming its weekly wholesale intervention funding sales (of over $100mn) as well as FX sales to the Bureau De Change (for business travels, personal travels, and other designated retail uses, as soon as international flights resume).

Overall, we believe the reopening of CBN’s activities at the FX market will restore some stability back to the market. Also, the recent IMF loan ($3.5bn) should help in shoring up the reserves, providing the CBN with additional firepower to defend the naira as FX market activities resume. Yet, we continue to see the reason for a complete harmonization of FX windows as the CBN noted that it had ramped up its surveillance of the foreign exchange markets for speculators, smugglers and other illegal users – a cost that may not be necessary or negligible, in an environment where FX rate is harmonized.

United Capital Research

Zinox Boss, Ekeh, 19 Others Appointed In Akwa Ibom’s Post Covid-19 Committee

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Zinox Boss, Ekeh, 19 Others Appointed In Akwa Ibom’s Post Covid-19 Committee

With Nigeria and the rest of the world still coming to grips with the COVID-19 pandemic which has hobbled global economies, the Akwa Ibom State Government is already looking ahead to repositioning its economy for a post-COVID-19 world.

To this effect, the governor, Udom Emmanuel has put together a crack and astute 20-member committee to advise the government on its task of economic reconstruction. Equally important, the committee, drawn from the public and private sector, is peopled by globally renowned entrepreneurs, eggheads from the corporate and academic circles as well as seasoned administrators.

The committee is chaired by Prof. Akpan H. Ekpo, a former Director-General of the West African Institute for Financial & Economic Management (WAIFEM), with Prof. Emmanuel Onwioduokit, HOD of Economics at the University of Uyo as Secretary.

Among the notable names in the committee is a serial digital entrepreneur and Chairman, Zinox Group, Leo Stan Ekeh; Acting Director-General of the Securities and Exchange Commission (SEC), Lady Mary Uduk and Executive Vice Chairman, ExxonMobil, Mr Udom Inoyo.

Others include Executive Director, NNPC/NAPIMS, Mr. Hilary Akpan; President, Uyo Chambers of Commerce Industry, Mines & Agriculture (UYOCCIMA), Obong Nseyen Ebong; President, All Farmers Association of Nigeria – Akwa Ibom Chapter, Prince Bassey Sampson Inwang; Director-General, Institute for National Transformation, Prof. Vincent Anigbogu; Managing Consultant, NobleHouse Consulting, Sir Inyang Inyang; former Executive Director, NCDMB, Chairman/CEO of Rootcare Pharmacy, Sir Effiong Afiakurue; Executive Director, Agricultural Investments (AKICORP), Pastor Umo Eno; President, Akwa Ibom Business Community (AIBC), Mr Lordswill Umani and Pastor Samuel Archibong of the League of Akwa Ibom Business Association (LABUSA), among others.

Also in the committee are a number of serving commissioners in the current Akwa Ibom administration.

The foregoing was disclosed in a statement issued by the Secretary to the State Government, Dr Emmanuel Ekuwem.

‘‘The current economic challenges, occasioned by COVID-19, have thrown an inexorable necessity on us as a people and Akwa Ibom State has risen to this challenge. To this end, His Excellency, Governor Udom Emmanuel has directed that a post-COVID-19 economic reconstruction committee be constituted of the… eminent persons,’’ the release had stated in part.

Equally important, the economic reconstruction committee will be inaugurated on Friday, May 1st by 12 pm.

Meanwhile, Akwa Ibom has made significant progress with its management of the COVID-19 pandemic in the state. Going by the statistics released by the country’s disease-fighting agency, the Nigeria Centre for Disease Control (NCDC) on Tuesday, April 28, Akwa Ibom had so far recorded 12 confirmed cases of COVID-19.

Nevertheless, it is currently nursing only two active cases after nine patients who previously tested positive made full recoveries and had been discharged. However, it has suffered one casualty as well.

Nigeria is currently battling to rein in the COVID-19 pandemic after an undisclosed Italian who arrived Lagos on March 24, 2020, became the country’s index case.

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