By Jensen Brian Abass Cummings

Small Businesses Struggling to Survive in Sierra Leone: Insights from Freetown Markets

At the bustling Kroo town Road Market, Mariatu Kamara stares at her shelves stocked with goods that no one seems to be buying. “Yesterday, I sold only two packets of sugar,” she says, her voice laced with frustration. Across Freetown, stories like those of Mariatu’s are becoming all too common. Small businesses, the lifeblood of the city’s economy, are grappling with unprecedented challenges, forcing many shop owners to close their doors for good.

The struggles are visible in almost every market venue in Freetown. From Dove Cut to Congo Market, shopkeepers complain about dwindling profits. Some have shut their shops, unable to cope with the spiralling costs of rent and goods. Others, like Mariatu, continue to fight a losing battle against economic pressures.

The Rising Storm

One major issue is the skyrocketing prices of wholesale goods. Abdul Conteh, a wholesaler at Goderich Street, explains, “Every time the dollar rate changes, our suppliers increase their prices. It’s hard for us, but it’s even worse for the retailers.” The rising cost of goods makes it difficult for small business owners to restock their shelves, and when they do, they face another obstacle—low consumer purchasing power.

Haja Sia Koroma, who runs a clothing stall at Lumley Market, puts it bluntly: “People don’t have money to buy anything. They just window shop and walk away. Even basic items are now considered luxuries.”

To compound these challenges, small businesses face an ever-growing tax burden. From city council fees to national taxes, the financial pressure is unrelenting. “We pay taxes, rent, and transportation costs, but our sales can’t even cover these expenses,” says Mohamed Jalloh, a frustrated trader in Kissy Market.

Inflation has added another layer of hardship. The Leone’s steady decline against foreign currencies has driven up the price of imports. This directly affects not only the business owners but also their customers, creating a vicious cycle of reduced purchasing and selling power.

The Silent Closures

As businesses close one after the other, the city is left with empty stalls and darkened shop fronts. The once-vibrant Wilkinson Road, lined with thriving businesses, now hosts an increasing number of shuttered shops. Shop owners like Fatmata Sesay narrate their struggles with tears in their eyes: “I had to close my shop last month. I couldn’t even afford the rent anymore. It’s heartbreaking because this was my only source of income.”

Solutions on the Horizon

The struggles of Freetown’s small businesses demand urgent attention. To survive, these businesses need immediate and sustained intervention from the government and stakeholders. Here are some potential solutions that could ease the burden:

Tax Relief: Reducing the tax burden on small businesses can provide immediate financial relief. A temporary tax holiday for struggling businesses could help them recover.

Access to Affordable Loans: Establishing government-backed microfinance schemes with low-interest rates could give business owners the capital they need to keep their doors open.

Price Stabilization Measures: The government could intervene to stabilize wholesale prices by reducing import tariffs on essential goods or subsidizing local production.

Investment in Market Infrastructure: Affordable and well-maintained markets would allow businesses to operate without the heavy financial strain of exorbitant rents.

Boosting Consumer Purchasing Power: Policies aimed at creating jobs and increasing wages could revive consumer spending, creating a ripple effect that benefits small businesses.

Control Inflation: Measures to stabilize the Leone against foreign currencies would help ease the pressure of rising prices on both businesses and consumers.

Hope for a Better Tomorrow

Back at Kroo Town Road Market, Mariatu holds on to hope despite the odds stacked against her. “I just want to be able to sell and feed my family,” she says. Her words echo the sentiments of countless others striving to stay afloat in Freetown’s unforgiving economic climate.

The struggles of small businesses are a reflection of the broader challenges facing Sierra Leone’s economy. With focused interventions and collective will, there is hope that the tide will turn—not just for Mariatu and her fellow shop owners but for the entire nation.