TCCI Press Release  - 02 Oct 2021
COVID-19 will likely create long lasting economic damage and change the way enterprises do business in Tonga.

Recognizing the important role that businesses play in creating jobs, economic growth, development and prosperity, the Tonga Chamber of Commerce and Industry (TCCI) collaborated with the International Labour Organization (ILO) in conducting a needs assessment survey to identify key challenges faced by businesses in Tonga resulting from COVID-19.
This survey was completed by 216 businesses across Tongatapu, Vava’u, Ha’apai & ‘Eua who operated in over 17 different sectors, including hotel and tourism (28%), food and beverage/restaurants (21%), and retail and sales (12%). Enterprises surveyed employed between one and 250 workers in their business, with most enterprises employing between 1 – 10 workers (74%). Some of the key findings and issues raised by enterprises in the survey:

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• Of total enterprises surveyed, 15% (32) have stopped operating due to COVID-19, 35% (76) are partially operating, 1% are operating remotely and 49% (106) are fully operating on site.
• 61% of enterprises have dismissed or planned to dismiss more than 41% of their workforce.
• 34% of enterprises stated that "cash flow” was inadequate, plus 40% reported that customers and/or clients have been affected and demand was lower than normal - clearly identifying cash flow as a key issue.
• 57% of enterprises did not have their own funding or access to alternative sources of funding to maintain operations and staffing levels. Among enterprises that reported having their own funding, 85% said this funding was not a sufficient amount.
• Lastly 51% of business owners estimated that it would take between 91 and 181+ days to fully restore operations, and 16% of business owners were considering closing either temporarily or permanently.
  The Chamber presented its survey to the Legislative Assembly, Standing Committee for Social Services on 18th June 2020. TCCI would like to acknowledge & thank the Chair and members of the Standing Committee for the opportunity to present and discuss the TCCI survey findings on the impact of COVID-19, and committing to further dialogue with the Chamber to gather private sector proposals and views on COVID-19 policy measures.
  Tonga Chamber expects the negative impacts on enterprises from COVID-19 will worsen further when/after COVID arrives in Tonga.
  Chamber recognizes it must work more effectively and well with government and its other key partners, in order to assist enterprises throughout Tonga overcome COVID-19 negative impacts now and in the future.