Nigerian businesses, particularly those who rely a lot on foreign inputs have been on the receiving end of the currency crisis in the country. The CEO of Jovago has also joined the chorus of those speaking out on the challenges they have faced in recent months. Mr Kushal Dutta was quoted in an article in the Nation Newspaper.
“For a dollar-denominated economy, access to foreign exchange is critical to personal and institutional financing especially in the light of the prevailing economic realities in the country….
Early performance indicators show us that the e-commerce sector is observing a sharp drop in cashflow. At the moment, investors are seeking instruments that can accommodate dollar receipts but if the restrictions on FX trade continue and the value of the naira continues to spiral out of control, businesses will be faced with significant risk and engagements in offshore transactions will be limited.”
Jovago is a leading hotel booking site in Africa and was founded by Africa Internet Group (AIG) and is backed by MTN, Millicom and Rocket Internet. AIG is present in almost every African country with more than 3,500 employees. Some of its companies they own alongside Jovago include Jumia, Kaymu, Hellofood, Carmudi, Lamudi, Zando, Lendico, and EasyTaxi.