The closure of the main market in Xamarweyne district of the Banadir region entered its third day today, after traders said they were struggling with new tax burdens imposed by the Federal Government of Somalia.
Traders who spoke to local media said that the Ministry of Finance’s revenue office has imposed more taxes than they are legally required to pay each year, indicating that these taxes amount to hundreds of dollars and that they are unable to pay them.
The most frequently closed areas these days include those selling mobile phones and related accessories, while traders assured the media that the new fees demanded are “illegal” and have no connection to the official tax system.
Media that visited the market reported that some security agencies refused to film the closed business premises, ordering that no photos or videos be taken there, which further increased the traders’ concerns.
One of the businessmen, who asked not to be named, said that the burden they are complaining about comes primarily from the Ministry of Finance, especially the director general.
He said that instead of subsidizing or helping traders, the government has imposed a fee called “Qiyaas”, which means that traders must pay no less than the amount they paid last year, even if their business has declined or the market situation has changed.
“We have paid the legal taxes that were required of us, but these new fees are too burdensome, and we cannot afford to pay them,” said one of the traders.
Xamarweyne traders have appealed to the Federal Government, asking it to reverse the burdensome decisions imposed on them and ease the situation so that their businesses can continue to operate and contribute to the country’s economy.
The closure of the market has had a significant impact on the district’s business and people’s movement, and the situation remains difficult as the traders’ complaints have not yet been resolved. There has been no news from the Ministry of Finance regarding the complaints of these traders.
