Protest: Economic losses mount as banks, filling stations,

By Adewale Sanyaolu

The nation’s economy suffered a staggering loss estimated at N400 billion yesterday as a result of widespread shutdowns triggered by a nationwide protest that commenced earlier in the day. The disruption, which saw banks, filling stations, and Small and Medium Enterprises (SMEs) cease operations, underscores the severe impact of civil unrest on economic stability.

The Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, had earlier warned that the protests could inflict daily economic losses in the range of N400 billion. His concerns were reflected in the observations of Daily Sun reporters across Lagos.

As of 10 a.m. yesterday, a significant number of Deposit Money Banks (DMBs), insurance companies, retail outlets, and filling stations had closed their doors. Notably, Bokku Stores, a rapidly expanding consumer retail outlet, also suspended operations at its various locations within and beyond Lagos.

The ongoing fuel shortages were exacerbated by the shutdown of both major and independent filling station operators. Daily Sun’s observations highlighted a marked decline in commuter activities, with a notable reduction in the availability of commercial buses, motorcycles (okadas), and minibuses, as many commuters opted to stay home.

The SME sector faced similar disruptions, with numerous shops, hairdressing salons, gyms, supermarkets, and tailoring businesses halting their services. The economic paralysis echoes the substantial financial damage experienced during the #EndSARS protests of 2020, which had an estimated economic cost of N1.5 trillion, accounting for approximately 1.03 percent of Nigeria’s GDP and 11.47 percent of the 2021 budget.

Financial Derivatives Limited (FDC) reported that the 2020 protests amplified existing challenges in output and supply chain disruptions. Yusuf warned of severe consequences from the current unrest, noting that prolonged disruptions could lead to shutdowns in critical sectors such as trade, manufacturing, entertainment, transportation, logistics, financial services, hospitality, agriculture, aviation, ICT, and construction. He also highlighted risks to lives, property, and government assets.

Yusuf commended the Inspector General of Police for recognising the right to protest while ensuring protection for peaceful demonstrators. He urged protest organizers to cooperate with law enforcement to ensure that demonstrations remain peaceful and orderly, warning against providing a platform for criminal elements intent on causing harm and destruction.

“Peaceful protests are crucial for effective messaging,” Yusuf said. “However, the involvement of criminal elements undermines this purpose and exacerbates societal damage. Prolonged protests increase the risk of anarchy and give opportunities for hoodlums to cause chaos.”

Yusuf emphasised that most Nigerians are employed in the informal sector, where many rely on daily income. Any disruption beyond 24 hours could trigger significant social unrest, underscoring the vulnerability of the country to extended protests.

He called for short, focused protests to minimize economic and social disruptions, urging all stakeholders to work towards a resolution that preserves public safety and economic stability.