THE Port Moresby Chamber of Commerce and Industry recently participated in the Bank of Papua New Guinea’s ‘Pulse Survey Report’ on the impact of Covid-19 on small and medium enterprises in the country.
Businesses that were permanently closed were in the following sectors: transport and storage; financial and insurance services; and education.
Those that were temporarily closed were mainly from: accommodation and food services; construction; information and technology; manufacturing; and professional, scientific and technical services sectors.
Mobility restriction measures also affected businesses. Fewer people moving around meant less spending causing a decline in sales revenue for businesses, further affecting repayments of existing commercial loans and expenses such as wages and salaries. About 76% of the respondents said their sales turnover declined between 50% and 100%.
Only about 7% of businesses experienced an increase in sales owing largely to continued operations during the lockdown. This included businesses that diversified their product mix and sold health products.
Overall, figures from the survey depict depression in business activity.