Small Businesses Under Significant Financial Strain, Says Central Bank’s Ed Sibley

The Covid-19 pandemic has put small businesses under considerable financial strain relative to larger companies, with the shock to their turnover creating significant cash-flow challenges in some sectors, Central Bank deputy governor Ed Sibley said at a Small Firms Association webinar on Wednesday, The Irish Times reported. Small and medium-sized enterprises (SMEs) are operating in a very difficult and uncertain environment, despite interventions to cushion the effects of the crisis, Mr Sibley said. Uncertainties relating to the end of the Brexit transition period on December 31st pose an added risk, he warned. An analysis by the Central Bank published last month estimated that gross operating losses in the SME sector for the nine months from April to the end of the year would be between €10.3 billion and €11.7 billion. Read more