Effect of Coronavirus on Economic Development: Evidence from Abak Local Government Area, Akwa Ibom State, Nigeria

This study investigated the socioeconomic repercussions of the COVID-19 pandemic on businesses, daily wage earners, poverty levels, and unemployment in Abak Local Government Area of AkwaIbom State, Nigeria. The primary objectives were to analyze the pandemic's effect on business operations, particularly small and medium-sized enterprises (SMEs); evaluate its impact on the socioeconomic status of daily wage earners; and assess the effects on poverty and unemployment levels in the area. Assumptions included the susceptibility of businesses, vulnerable populations, and socioeconomic indicators to the pandemic's disruptions. The survey research design incorporated a stratified random sampling technique, with a sample size of 288 SME owners in Abak. Data were collected through a Likert five-scale questionnaire and analyzed using both descriptive and inferential statistics, including regression analysis. The main findings revealed a statistically significant negative correlation between businesses' operations and the impact of COVID-19, indicating increased operational challenges as the pandemic intensified. A similar negative correlation was observed between daily wage earners and the pandemic's impact, suggesting socioeconomic challenges for this group. Additionally, there was a significant positive correlation between COVID-19 and poverty levels, indicating increased poverty as the pandemic worsened. Likewise, a significant positive correlation was observed between COVID-19 and unemployment, indicating a rise in unemployment levels due to the pandemic. These results underscored the multifaceted challenges posed by the pandemic on businesses, vulnerable populations, poverty, and employment. The study concluded that the COVID-19 pandemic had a negative effect on business operations, increased poverty, and led to a rise in unemployment in Abak LGA, AkwaIbom State. Recommendations included government support for businesses, socioeconomic assistance programs for vulnerable groups, and targeted interventions to mitigate poverty and unemployment.