RETAIL ASSOCIATION SHOCKS WITH LATEST RESULTS, THE ONLY HOPE REMAINS FUNCTIONALIZATION OF THE RECOVERY PACKAGE

Prishtina, 1 July 2020 – Retail Association, in order to assess the impact of the COVID-19 pandemic on the retail sector has completed a survey with the members it represents, the results of which require increased attention from institutions governance and consensus among political parties regarding the Economic Recovery Package.

Based on the survey results, 80% of businesses estimate that there has been a significant decline in revenue. The imposition of restrictive measures and the decline in economic activity as a result of the public health emergency has greatly affected the operations of businesses, while a significant number of them have not been allowed to exercise economic activity.

In this regard, 60% of businesses consider that this situation has greatly influenced the change or restructuring of their strategic objectives, emphasizing the need for intervention of government institutions with stimulating economic measures.

Declining purchasing power, low liquidity, and weakening consumer confidence are the most important challenges that have a direct impact on doing business while the situation with the spread of COVID-19 does not seem optimistic. In this regard, 80% of businesses consider that there will be further decline in consumption after the pandemic, thus suggesting a major economic shock.

However, despite the significant damage to the supply chain during this period, the price of products in the market has remained the same, while supply difficulties continue to be a problem for 20% of businesses.

Regarding the labor market, 60% of businesses operating in the retail sector have reported that more than 50 workers have been laid off or laid off after the spread of the COVID-19 pandemic. On the other hand, 40% of businesses do not have any employees fired or laid off.

Given these data, the Retail Association considers that the situation created should serve as a cry for faster intervention in the economy through a comprehensive stimulus package and that any delay in reaching a consensus on the Economic Recovery Package undermines in business foundations.

Therefore, RRSHP reiterates the members’ concern regarding the political discourse and urges the political parties to reach a consensus on the approval of the Economic Recovery Package.