For the current study, six rounds of theHFPS-F survey are used, mainly focusing on the businessclosure module from round six. The six rounds are roughlythree weeks apart and were implemented between April 15 andSeptember 8, 2020 in Addis Ababa. The sampling strategy isexplained in detail in a companion technical note. Sixsurvey briefs highlighting the impact of the pandemic onfirms’ operations and labor dynamics are already producedalong with two special topic briefs focusing on the gendereddifference of the pandemic and how firms were affected bythe State of Emergency. The current brief examines firmclosure in relation to firms direct or indirect exposure tothe social and economic impacts of the pandemic. The goodnews is that most of the firms that are closed have stoppedproduction or services temporarily with less than 2 percentof firm closures reported to be permanent in R6 (roughlyAugust). The following analysis thus focuses on temporaryclosures and mostly rely on data from 436 firms, of which108 were temporarily closed and 328 were open at the time ofthe R6 survey.