The costly aftermath of COVID-19 |29 April 2020

A photo archive of visitors disembarking at the Seychelles International Airport. Even after the airport re-opens on June 1, it will take a while before visitors will flock to the islands

With the country ending the lockdown in just a few days and restrictions becoming more relaxed, many people will have to adjust to a new sense of normalcy in the coming months, not only socially but financially as well.

Social distancing is one of the major changes that people will still have to practice as the risk for transmission is still present. In a public address on Monday night President Danny Faure urged the public to continue practicing physical distancing and maintaining good hygiene.

The Seychelles Public Transport Corporation (SPTC) will continue to follow the guidelines of the department of health where drivers will be advised to maintain their buses at half capacity. Companies have been asked to adjust their schedule and make their employees begin and end work at different times to avoid putting the transport network under pressure during rush hour, or to alternate days working at home.

When companies reopen their workspaces, managing movement in offices will be key. In open-plan spaces, workers will need to sit further apart at rows of desks, while they maintain the good hygiene practice.

Supermarkets, grocers and other essential retailers that have remained open during the lockdown introduced safety measures to keep shoppers and staff apart, limiting the number of shoppers allowed inside, and floor markings to keep shoppers apart. As restrictions are lifted, similar measures are expected to continue as well as closing all shops at 8pm bringing the closing time up by two hours.

Schools will also have to adjust to a ‘new normal’ as kids will be required to practice social distancing during schooling hours as well as to practice good hygiene by using their hand sanitisers and washing their hands constantly.

The biggest impact of the coronavirus however will hit businesses the hardest, especially the ones that rely heavily on tourism such as locally owned guest houses and hotels. Even though the country will open the airport on June 1, the tourism sector will take a long time to recover.

Many estimates are being thrown around about the potential impact of COVID-19 on global and national economies. Perhaps the only thing they agree on at this stage is that it will be bad, but how bad is it going to get?

With many European countries still under threat of a second wave of the deadly virus outbreak and with June being the start of summer and serving as a peak season for our tourism industry, it is still uncertain that visitors will flock to the island considering travel restrictions in key markets and travel confidence being at an all-time low and this is further exacerbated by the fact that they will spend two weeks of their holiday in quarantine.

The effects of having no tourists will impact the entire country as has become evident through the depreciation of our currency where in two months we have seen the US dollar go from approximately R14 to R17.50.

The depreciation and unavailability of foreign exchange flowing into the system has already taken a toll on importation and looks as though to cause a shift in consumption patterns in the foreseeable future as the Central Bank of Seychelles has committed to financing importation of only essential products including food, medication and fuel.

Inflation is also likely to happen further, impacting on an already fragile economy and the community as prices hike.

Christophe Zialor