At least 57.5 per cent of small and medium sized enterprises (SMEs) operating across different industries closed operations between March and April due to Covid-19 impact, a new study by Business Professionals Network (BPN) and the University of Rwanda shows.
SMEs make up more than 90 per cent of businesses operating in the country and employ thousands of people
On average, entrepreneurs reported having about 35 employees before the crisis, and having 16 employees working at the moment, the study released on Wednesday shows.
Alice Nkulikiyinka, the Director of BPN told The New Times that the study is in many ways a representation of the impact that the novel Coronavirus pandemic has had on small businesses.
However, many entrepreneurs, some of whom are servicing business loans, are uncertain about their capacity to deal with the crisis if the Covid-19 pandemic persists.
Many entrepreneurs believe understanding the real impact of Covid-19 on their businesses would be one of the ways to cope with the crisis, while others believe financial support is critical.
