Skip to content

Traders Face Threats From Al-Shabaab Over Tax Measures Amid Calls for Government Action

Storyline:Business, Security

GOOBJOOG NEWS/MOGADISHU: Following the implementation of the new sales tax system recently introduced by the Ministry of Finance, there have been increasing threats and warnings issued by the Al-Shabaab group targeting business owners.

The group has demanded that businesses refrain from complying with the government’s tax plan and the new taxation procedures.

Despite these threats, most business owners have shown resilience, trusting that the government will protect their safety as they are the country’s primary taxpayers. However, it has become evident that the group has escalated its punitive measures, launching attacks on businesses. On Sunday, the group set fire to the largest section of the market in the Eelasha Biyaha area.

Additionally, last week, government forces successfully thwarted several planned bombings intended to be carried out within Mogadishu, which could have resulted in significant harm to both the public and the business community.

In a separate warning, Al-Shabaab has urged the Somali public to withdraw their funds from certain banks within a few days, labeling these financial institutions as collaborators with the government, alleging that they are sharing the public’s financial information and income with authorities.

Businesses had previously halted most payments to armed groups as a measure to protect their lives, complying with government pressure that aimed to weaken these groups economically. This stance has resulted in life-threatening risks and substantial financial losses that business owners have endured.

While the government’s security forces are prepared to counter actions that could lead to insecurity, there is a pressing need for additional measures to protect the lives and assets of business owners who are now increasingly being targeted for their compliance with the government’s taxation policies.