Shutdown as Nairobi traders accuse KRA of punitive taxes on goods

Nairobi Traders and Business Communities jam the streets of Nairobi on August 28, 2026 protesting over high taxation. [Boniface Okendo,Standard]

Businesses in Nairobi City Centre, Kamukunji area and Eastleigh were on Friday shut down as traders protested what they term punitive tax increase on goods by the Kenya Revenue Authority.

The traders marched to the city to present their petition to KRA claiming that their past attempts to bring the taxman on the table for negotiations have been futile.

Their efforts were however thwarted after anti-riot police lobbed teargears on the traders to disperse them from accessing the Times Towers and Parliament buildings.

Police lob teargas on traders protesting against tax increase in Nairobi on August 28, 2026. [Boniface Okendo, Standard]

Currently, traders say the import of a container carrying assorted goods stands at Sh3.2 million shillings up from initial Sh2.5 million shillings that they were paying until the new rates came to effect a few weeks ago.

They argue owing to the increase, they are no longer able to make any proceeds as the cost of importing goods is no longer affordable.

Thus, Several businesses within the city including Luthuli Avenue, Tom Mboya, Moi Avenue and other streets remained closed for the better part of the day.

Macharia Kagwaini, the chairperson of Small Traders in Nairobi said the taxes are punitive and they were not involved before the increase.

"It is unfair that KRA increased the charges of importing 40 feet container from Sh2.5 million shillings to Sh3.2 shillings in short period without involving us the small traders," Macharia said 

"KRA has never listened to us despite our past petitions, our other issue is about foreign traders, specifically the Chinese."

Nairobi Traders and Business Communities jam the streets of Nairobi on August 28, 2026 protesting over high taxation. [Boniface Okendo, Standard]

The traders claim there is a market being put up at Jamuhuri estate for the foreign traders to sell the same goods that local traders currently import citing that the move could leave them without businesses.

"We want the government to come out clean about the market because first priority is supposed to be given to traders not manufacturers," the chairman said 

Pointing out, "this means the same products that we have been importing will be sold by the foreigners here in Nairobi and that will be unfair to small traders like us. We will continue to be on the streets until the taxes come down,"

The traders claim sometimes last month KRA met some associations claiming to be representatives of the small traders but the genuine traders were left out.