It’s no longer news that the #EndSARS protest in Lagos State Nigeria, has been overtaken by hoodlums turning what was a peaceful protest into a rampage.
Lives have been lost and several people injured, prompting the governor of the state, Babajide Sanwo-Olu to declare a 24-hour curfew. Bearing in mind that Lagos State is Nigeria’s economic capital complete restriction on movement will in no doubt have huge economic implications.
Let’s look at the business within the state that could suffer the most from this situation.
1. Logistics Businesses
The leading logistics businesses in Lagos such as Kwik Logistics, GIG Logistics, MDS Logistics, etc have already started to send emails to clients informing them that due to the curfew services will have to be put on hold. I recently got mine from Kwik logistics
The logistics industry in Nigeria is valued at an estimated N250 billion according to the 2018 Logistics and Supply Chain Industry report, Lagos State accounts for a huge part of this revenue. This number has most likely doubled following the COVID-19 lockdown in the country.
There is no information regarding how long the curfew will last, but it will be costing logistics businesses in the state a lot of money.
The curfew will feel a lot like Déjà vu for Small and medium-sized enterprises who rely on a lot of face-to-face interaction with their customers. With the complete restriction on movement, these businesses will have to keep their fingers crossed and hope that the heat from the protest dies down as soon as people. A lot of revenue will be lost at this time as SMEs have been forced to hit the pause button on a lot services they offer.
3. Transport Businesses
Lagos’ bus, taxi, tricycle and motorcycle riders will suffer the most from this curfew as their businesses are solely reliant on the movement of people from place to place. Transportation in Lagos is a big deal, as the ever-bustling city is teeming with people looking to get around – transporters will surely lose a lot of revenue.
The #EndSARS protest started about two weeks to go end the Special Anti-Robbery Squad, a branch under the Nigerian Police Force which has been brutalising the citizens, leading to the death of a lot of well-meaning Nigerians.