3 Ways to Cushion against the Effects of Future Pandemics

The COVID-19 pandemic, which characterized the year 2020, was a shock not just for Nigeria but for the entire world as we were unprepared for such an occurrence. The impact of this era was felt by the economy and people across the country through the lockdown measures, which lasted several months, affecting small businesses and business owners.

In addition, the strain it put on the health sector and its professionals, with an avalanche of cases pulled into ill-equipped health facilities and the constant rise in the death toll, left an indelible mark.

While the world faced its unpreparedness unfold, the effects of the pandemic were harder in developing countries across the world, with India and Brazil taking the lead according to statistics aggregated by WolrdOmeters. Nigeria, on the other hand, could be said to have admirably shouldered the health impact of COVID-19 as it defied all predicted cases despite its failing health sector and already dilapidated economy.

Through the pandemic era, a lot of lessons were pulled out to set the tone for the economic recovery and to strengthen institutions across health, and commerce, among others. To cushion the effect of a possible pandemic, government institutions and corporate organisations within the private sector have their roles and responsibilities, which they must begin to put in place in preparation for the unforeseen reoccurrence of COVID-19 or a possible future pandemic.

A few ways to ensure that the effect can be cushioned would include:

1. Economic Policies: According to International Monetary Fund (IMF), an estimated 4.4% of the global economy shrunk in 2020. Governments must be more deliberate with the creation of policies and laws that would directly and positively influence the economies of the world. Policies should be intentionally implemented rather than simply formulated and should cater for the most basic of economic needs. If the right structures are put in place, it will safeguard the economy and cushion the effect of a possible pandemic on smaller businesses and business owners.
2. Improvement of Health Institutions: The advent of the pandemic showcased that health institutions were unprepared for large-scale treatment, and employing the best of methods and procedures within the healthcare system is still farfetched. A strong and resilient health sector, particularly at the primary healthcare level, is needed to facilitate the detection of disease outbreaks, provide essential care, and strengthen the deployment of vaccines and other medical countermeasures wherever and whenever they are needed. Although pandemic preparedness needs global efforts, according to the World Bank, it sure begins at the country level.
3. Revenue Generation and Diversification: Tax policy reforms at different levels of government should be geared to increase tax revenues within its policy framework. The reforms should be aimed at improving compliance, discouraging evasion, and widening the country’s tax base. This will provide the required capital to diversify into other sectors of the economy. Sectors such as agriculture, infrastructure and security should be actively improved on to ensure readiness for dark times.

The occurrence of another Pandemic is unknown but eminent. This can be witnessed in the resurfacing of health sector scares and epidemics like Ebola in Uganda, Monkeypox and the like. There is an evidently high possibility that the COVID-19 pandemic is not over and there are more pandemics that may re-emerge. Therefore, there is a need to act on the lessons learnt from the COVID-19 pandemic to ensure proper policies are formulated to strengthen health institutions and the economic sector to be better prepared.

By this, the effect of a possible pandemic can be cushioned, and its effect on the economy and economic recovery will not only be reduced but will be equitable across economic sectors and social strata.