Nairobi Police Fire Tear Gas as Traders Protest Tax Hike

Police in Nairobi fired tear gas on Friday to disperse small-scale traders who had shut their businesses and taken to the streets to protest against higher taxes and a new customs valuation benchmark.

The demonstration was triggered by the Kenya Revenue Authority's decision to raise the minimum customs valuation for a 40-foot container of consolidated general cargo from 2.5 million shillings ($19,325) to 3.2 million shillings ($24,736). The 28% increase took effect on August 20.

Traders who rely on consolidated shipments say the change will push up import costs and further squeeze already thin profit margins.

Simiyu Wanyama, a mobile phone retailer, said work has been slow because of taxes. He said customers are not buying phones because prices have increased, and rent in Nairobi remains high.

Priscal Njuguna, a businesswoman, said the protest was meant to be peaceful but police used force. She said traders are determined to fight for their rights.

Footage from the scene showed protesters running through clouds of tear gas smoke, police vehicles moving through the city, and at least one protester being arrested. Several businesses remained closed during the demonstration.