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Signs You Don’t Make Enough Money and Overcoming the Problem

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At a certain stage of life, every person may feel the lack of money. Probably, one has spent too much on unnecessary items or the level of income is insufficient to cover all the must-pay bills. Unfortunately, this can be even both. It is not necessary to rush into finding an FX broker and investing all the money remaining in your bank account. Start with a proper analysis of the reasons, check the proposed strategies, and look for a wise way out of the financial crisis you are facing. Here are the signs of low income and possible solutions.

●    Monthly Use of Credit Cards

Have you noticed that in the middle of every month, you need to use a credit card to pay in a grocery store, as well as to cover some bills? Probably, you are used to spending more than you afford. Or the monthly income is insufficient. To understand the main reason for this is to stop using credit cards. At first, this seems a great way out of any financial difficulty. However, with a growing interest on your debt, you will need one more loan to cover this credit. Using credit cards regularly is the beginning of a vicious circle that should be torn immediately.

●    There Is No Money by the Middle of the Month

This is the reason why you are forced to use credit cards. If you need to struggle to survive until the end of the month and make ends meet, this is the sign of insufficient income. One may start thinking about ways to increase the level of income. Looking for a new job or asking for a raise can help you get out of the financial difficulties you are in. Among possible solutions, one can also start working on an additional project, learn the principles of Forex trading to start making money on the stocksexchange or get the second job.

If you have understood that there is a lack of qualification that stands between you and a highly-paid job, it makes sense to consider getting an education to apply for a well-paid position. This is a long-term solution, however, a sure-fire way to get out of the financial crisis challenging you now. Have you ever dreamt of becoming a broker? This can be the time to make dreams come true and get the chance to increase your income at the same time.

●    You Cannot Pay All the Monthly Bills

Lots of people feel that the burden of bills is sometimes unbearable. However, if you face the same challenge to choose which of them you are going to pay this month while leaving some of them for the next, this is the sign that the money you make is insufficient for necessities. Be sure that you have carefully checked your expenses. It is important to cut the luxuries and save as much as possible. Give preference to cheaper meals cooked at home instead of going out. Buy only the items you really need and consider using the services of companies with more budget-friendly rates on the market.

●    You Cannot Cope with an Emergency

Having no emergency funds leads to the situation that you are forced to use credit cards to pay for an unexpected repair bill. As the debt accumulates, while the emergency fund does not, this will cause the domino effect. Coping with one emergency, you get yourself into another one. Start saving money for an emergency fund. This may sound surprising, however, having a back-up fund will help get out of difficulties without getting into debt. Begin with a mere $50 saving per month trying to gradually increase it.

●    There Is Nothing Else to Cut

You have already forgotten about eating out, you buy meat only twice per week, and go to the cheapest barber in the neighbourhood, however, you cannot still make ends meet. What is more, just a thought about getting a bill makes you worry and leads to nightmares. This is the most evident proof of having an insufficient income. When everything is strictly cut and there is not enough money to cover living expenses, it is necessary to look for another source of income. In the meanwhile, it makes sense to set a bare-bone budget that will help you survive during the transition period.

Having financial difficulties is normal for all people. The most important is to take one’s time to evaluate the situation and find the right way out of it. Every crisis is the best time to take steps that will lead you to wealth and success.

Liquidity: Managing Cash Flow When Revenue and Funding Dry Up

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Join Top African Business Leaders Online for Four-Part Webinar Series

Africa.com has convened the largest ever gathering of Africa’s CEOs, managing directors, finance directors, private equity and venture capital investors, bankers, asset managers, corporate law partners, senior executives and diplomats.  Over 8,000 business leaders from 81 countries – 41 countries on the continent and 40 countries throughout the world, registered for Africa.com’s “Crisis Management for African Business Leaders,” a four-part webinar series hosted by Africa.com and faculty from Harvard Business School.

The next session of this weekly series will take place on April 22, 2020 at 15:00 South African time, on the topic of Liquidity: Managing Cash Flow When Revenue and Funding Dry Up.

Speakers include:      SimTshabalala, Chief Executive, Standard Bank Group

KunleElebute, Chair, KPMG, Africa

WelelaDawit, CFO, GE Africa

AdmassuTadesse, Chief Executive, TD Bank

Teresa Clarke, Chair & CEO of Africa.com said, “When we surveyed the 8,000 registrants for the webinar series, liquidity was the number one concern.  Business leaders are worried about how they will fund their companies when their revenues have plummeted.  African business leaders are also very concerned about how they can support their employees, their communities and their nations when their own resources are drying up.”

The webinar series features panel discussions led by faculty from Harvard Business School, in conversation with African business leaders including:

  • Sola David-Borha, Chief Executive, Africa Regions, Standard Bank
  • WelelaDawit, CFO, GE Africa
  • KuseniDlamini, Chair, Massmart
  • KunleElebute, Chairman, KPMG Africa
  • NolithaFakude, Chairman, Anglo-American Management Board
  • Foluso Phillips, Chair, Phillips Consulting
  • FunkeOpeke, Founder and CEO, MainOne
  • Jay Ireland, Former President and CEO, GE Africa
  • AdmassuTadesse, Chief Executive, Trade and Development Bank
  • Fred Swaniker, Founder & CEO, African Leadership Group
  • SimTshabalala, Chief Executive, Standard Bank Group
  • Rob Shuter, President/CEO, MTN Group Ltd.

 

More information and free registration at virtualconferenceafrica.com.

Prices slump as corona virus hits market

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The Addis Ababa city administration is disinfecting cattle to decrease the transmission of the virus at Addis Ababa Abattoir pictured above. The abattoir is taking precautions so that the corona virus don’t spread.
The World health Organization recommendations to reduce risk of transmission of emerging pathogens from animals to humans in live animal markets or animal product markets states that anyone visiting live animal markets or animal product markets should practice general hygiene measures, including regular hand washing with soap and water after touching animals and animal products, avoiding touching eyes, nose, or mouth with hands, and avoiding contact with sick animals or spoiled animal products. Stay safe. 

 

Easter is one of the major holidays that Ethiopians celebrate. Most of the time a holiday marks an increase in market prices and a shortage of commodities.
But as COVID-19 spreads around the globe, governments everywhere face a trade-off between economic well-being and containment.
Ethiopia also faces a greater and more dangerous challenge than many other places, given that interrupting daily economic life would threaten fragile livelihoods for tens of millions of people already living in precarious conditions.
In Ethiopia where more than half of the population is assumed to be the follower of orthodox and catholic churches, celebrating Easter after eight weeks of fasting is kind of a must.
On Easter eve, Ethiopian Christians participate in an hours-long church service that ends around 3 a.m on Sunday, after which they break their fast.
Mostly people start preparing for the celebration beginning from the last two weeks before the holiday. Unlike this year because of limited travel restrictions most products did not enter to the city market as they used to be.
In the city after the first case of corona virus was announced price of certain commodities increased. Vegetables, red pepper powder and onions have shown a ridiculous increase.
This week of Easter has a somber atmosphere and church services were not held as it was before. Previously on the holy week followers go to the church for a daily prayer, however, on March 24, 2020 the government ban public gatherings including religious worship aimed at preventing the spread of covid19.
Most large markets are moving to other areas to minimize the gathering, before a couple of weeks the city administration has decided to move the largest piazza vegetable market to Janmeda.
In Addis Ababa, in the last two or three weeks before the holiday it was familiar to see the city crowded by shops, exhibitions, bazaars and different small sheds of markets selling commodities for the holiday and these places crowded by thousands of shoppers.
Three months ago on Christmas there were two huge exhibitions opened at millennium hall and exhibition center and stayed until the eve of Christmas. Such kind of events were preferred because they gather consumers, retailers and producers together and anyone can get the products with cheaper prices than the normal market. But currently there are no bazaars and exhibitions as the city administration have changed the exhibition center and the millennium hall to isolation centers.
“Even if we are doing our best to do the same as we do before, this year is a little bit difficult, many businesses are slowing down, our income is low,” said Nunu who is a mother of two kids, and owns an electronic shop.
Mostly butter, eggs and chicken come to the city from various parts of the country, mainly from Harer, Gojjam, Arbaminch and Jimma. However according to Semahegn Yalew, a trader in Merkato, because of the virus most of the cities were restricting movements from one city to other and also the people were fearing to come to the central part with the fear of getting infected. “The price of some products are increasing and some are staying as they were at the time of the fasting season.”
From most markets of the city Capital observed the price of chicken and egg is quite lower than the price during the Christmas market.
Traders were selling an egg for 3.50 to 5.00 birr- the price is lower than the price during the Christmas festivity, whereas a chicken would set consumers back between 300 birr to 500 birr. Most are also selling a kilo of butter for 250 birr and 320 birr and the market has shown a decrease in price than it was on Christmas.
Kera, Akaki, Shegole, Bercheko are the largest cattle markets receiving cattle from different parts of the country, mainly from Harer, Wellega, Bahirdar, Jimma, Gonder and Wolayita among others. Usually, sale of livestock inside the center reflects significant seasonal variations on demand and supply. According to the traders, usually, the price is based on the type, size and origin of the cattle. “However this year the global situation of the virus and the travel ban cattle is more cheaper than it used to be, “plus people are not that much interested to buy cattle like they used to buy,” said on cattle seller at Kera.
The Addis Ababa city administration is now disinfecting cattle to decrease the transmit ion of the virus.
“Restriction of some part of the country make big change on the price of the cattle,” another trader at Kera said. According to him the Easter market shows around 2000- 3000 birr increase in price in comparison to similar holidays over the years. But it is showing a 3,000 birr decrease from last Christmas’ market.

People are still defying authorities’ orders

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Even though the regulation of the state of emergency (SoE) stated that using face mask is mandatory at public areas to prevent the outbreak of COVID 19, the law is not properly applied at the current situation.
Police also warn abusing the laws has a punishment up to death.
According to Capital’s observation in different corner of Addis Ababa the use of face mask is rare especially in crowded places.
The trend, at major busy areas like Merkato and public bus transportation areas, continued as usual, even though the state of emergency enforce the use of any kind of mouth and nose coverage at public places.
The regulation of SoE article 4 sub article 6 indicated that using masks or face coverage at banks, market places, public transport and terminals, shops, drug stores, public service areas and other mass gathering areas is a mandatory. The same article sub article 7 clearly states that the mask can be any type including homemade or any kind of scarves.
Commander Fasika Fanta, Public Relation head of Addis Ababa Police Commission, said that the city Police Commission observed the use of face mask is rare. “We evaluated the situation of applying the SoE on covering the face is not being properly followed and we will work on correcting it immediately,” he told Capital.
He said that to narrow the gap the Addis Ababa Police Commission in collaboration with Federal Police and representatives of Ministry of Peace is taking strict measures as of Wednesday April 15.
“Due to the holiday season in the past few days the security has been highly focusing on religious areas to make sure that the public did not gather at churches,” he said. “Thursday prayer and Good Friday we have focused on church areas at the same time alerting the public at big market areas and insisted the public to use face mask besides keeping the social distance.”
“We also evaluated the situation at Merkato and Janmeda and we decided that it should be corrected regarding using face masks,” Fasika added.
Jeylan Abdi, Public Relation Head at Federal Police Commission, said that the public is not using the mask as per the expectation, but the public is cooperating and listening the orders of the federal police members who are in duty.
“So far we understand that the public does not internalized the situation and we also get information that there are members of the community that never have heard about the measures that they have to take to keep themselves safe from the virus,” he said.
“We have got such kind of less informed community members that does not have access for media such as those who are engaged on the daily laborer work at the highly congested market place at Merkato,” Jeylan told Capital.
To expand the awareness and address those who are far from media the Federal Police will start sharing information on megaphone in those mass public gathering areas, according to Jeylan.
“Mainly we are focusing on alerting the public to keep their social distance and if it is difficult we advise them to cover their faces,” he said.
Jeylan said that the regular criminal code like article 514 gives a right for attorney general to sue those that disregard the law to punish them from simple imprisonment to death penalty.
He said that “a simple example is that an individual that transported dwellers against the regulation of the SoE was punished 1,500 birr on Thursday.”
“Others that might consider to go against the law of the country and the SoE will face serious punishment according to the country’s laws,” he added.
He advised the public to keep its health by properly applying the recommendations and orders from the policy force.
“The SoE is issued to keep the health of the society itself due to that we have to respect and apply or else face the consequences,” Fasika advised. He recommended the public to act like security force to keep the general public’s health.
Several countries ordered their citizens to wear face masks in public area to cut the transmission of the coronavirus.
Scientists are also advising that the face mask whether it is professional or not will significantly reduce the transmission of the virus.
Currently most of the textile industries are shifting to the production of face masks and several homemade masks are also available in the market.
The government has also recommended the public shall use any fabrics to cover the mouth and nose areas.