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Anti Covid-19 measures add pressure on small businesses

Sunday March 22 2020
By MOSES K. GAHIGI

Small businesses and low-income households are struggling to fulfil the safety guidelines set by government to minimize the spread of coronavirus.

A day after the government confirmed the first case in the country, a directive was sent out that all businesses regardless of size must have a hand washing equipment at the entrance and soap, or risk closure.

This has led to a sharp increase in prices of sanitation equipment and household items despite ongoing government efforts to restrict traders from hiking prices of basic items. For instance, the cost of a hand metallic hand washing machine downtown has increased from Rwf 15,000 to Rwf35,000.

The price of a hand sanitizer has increased from Rwf7,000 to between Rwf25000,and Rwf35,000 in some pharmacies as demand picks up.

“I opted to buy a hand sanitiser (instead of a machine) but the cost is still high…” Said Uwase Doreen, who owns a small shop in Kanombe.

Other businesses for instance small grocery stores, and shops opted for buying hand washing equipment and liquid soap, but the additional expenses are adding pressure on their marginal revenues.

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Liquid soap costs between Rwf3,500 and Rwf3,700 in some shops, even after the Ministry of Commerce came out with a directive against traders who are inflating prices. For Maniragaba Francois, who runs a shop, selling feature phones, accessories and other electronics in Remera, things are also tightening.

He used to buy his merchandise at wholesale in town, but the recent increment in prices is making it difficult for him to stay in business.

As of 18th March, 2020 Rwanda had reported eight Covid-19 patients.

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