Impacts of COVID-19 lockdowns on private sector activity in developing countries: Evidence from Kenya
This paper studies the impact of COVID-19 lockdowns using phone surveys from businesses in one of the poorest regions in Kenya
Abstract
Detailed quantitative evidence on the evolution of economic outcomes during the COVID-19 health crisis in low income countries remains scarce. We study the impact of COVID-19 lockdowns using phone surveys from a representative sample of businesses in one of the poorest regions in Kenya, allowing us to study trends over time. Revenues dropped by 55% from February to May 2020, layoffs have doubled, and an increasing number of households are facing food insecurity. Entrepreneurs and our earlier research indicate that cash transfers and business loans may be effective policies for mitigating the negative effects of the downturn.
This work is part of the Private Enterprise Development in Low Income Countries (PEDL) programme
Citation
Egger, D., Haushofer, J., Miguel, E. and Walker, M. “Impacts of COVID-19 lockdowns on private sector activity in developing countries: Evidence from Kenya” PEDL C-19 Note