This archive report was first published on 25 May 2020.
Published on May 25, 2020, a PwC survey revealed that 65% of African CFOs anticipate a sharp decline in profit in their companies' revenue and profit this year.
Only 9% of those polled expect an increase in revenue, while 85% of CFOs are implementing cost-containment measures and 60% are either deferring or cancelling planned investments.
“Businesses are actively dealing with the effects of a sharp decline in economic activity and even temporary closure of their operations,” the report stated.
Professional services firm PwC polled 867 CFOs from 40 countries, including 55 CFOs from nine sub-Saharan African countries, during the week of May 4, 2020.
According to the study, many African countries implemented containment measures to reduce the rate of infection, but these measures precipitated a rapid decrease in economic activity.
Although 38% of African CFOs believe their companies could return to “business as usual” within three months if Covid-19 were to end today, there is a growing sentiment in many territories that recovery may take much longer.
