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African nations’ poverty level to jump, lose 150M jobs post Coronavirus

By NewsDesk, with Agency report,

No amount of strategic plannings is likely to safe African nations’ economies from aftermath of Coronavirus as predicted by a global management consulting firm, McKinsey  and Company, report, in which no fewer than 150 millions’ jobs, were indicated would be lost in Africa by end of the virus, that had forced countries in Africa into lockdown.

From the firms findings, if the predicted amount of jobs were lost post Coronovirus, there were strong possibilities that poverty level per African nations would increase and the situation could send back the continent behind line, economy wise.

It reported held that effect from lock down would affect a third of 440 million formal and informal jobs in Africa and that between 9 million and 18 million of the 140 million formal jobs could be lost as a result of the crisis.

McKinsey, through a Finding Africa’s Path report released during the weekend, disclosed that about 150 million jobs were at risk and that a 30 million to 35 million jobs may have to introduce wages and working hours reduction.

It hinted that one  hundred million of 300 million informal jobs within continent would face hard time  when business returns to normalcy and that more than half workforce in manufacturing , retail and wholesale, tourism, and construction sectors may be affected.

Recently,  World Bank projected that African nations would witness first recession in 25 years and that the virus, couple with the lock down across African regions, to be responsible for the economy shortfall.

Reports were that slow take off of coronavirus in Africa and fallout from the disease had decimated economies of the continent, with shutdowns seizing activities across countries.

Besides, there have been concerns that limited testing were suppressing real number of infections and that rise in cases of the virus were expected across countries.

Mckinsey stated that Africa was ill-equipped to fund a medical response and needs to spend $5 billion on health over the next 100 days and that the entire continue may only provide 20,000 beds across care units.

“The entire continent may have just 20,000 beds in intensive care units, equivalent to 1.7 ICU beds per 100,000 people,” the consultancy firm said. “By comparison, China has an estimated 3.6 ICU beds per 100,000 people, while the U.S. has 29.4.”

“In sub-Saharan Africa outside of South Africa, there may be as few as 3,500 ventilators, McKinsey added.

 

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