Traders operating from tycoon Hamis Kiggundu’s newly constructed shopping mall along Nakivubo Channel in downtown Kampala are reportedly facing financial pressure following the introduction of an additional Shs500,000 in charges. The development has left several business owners questioning how they will continue operating amid already difficult trading conditions.
According to information from the traders, the additional charges were communicated after the first six months of their tenancy agreements. Shop owners were reportedly informed that they would now have to pay an extra Shs500,000 on top of their existing monthly rent, with the new charges taking effect immediately.
The additional amount is reportedly divided into two categories, with Shs200,000 allocated to maintenance and another Shs300,000 for electricity expenses. Traders claim that although individual shops have Yaka electricity meters, management is requiring them to contribute towards electricity costs through the additional payment.
The situation has reportedly become more difficult for traders who have failed to raise the extra money. According to the claims, some shops have been locked for several days as management demands full payment before allowing the affected tenants to resume business.
Some business owners say they invested more than Shs50 million in setting up their shops, purchasing stock and preparing their businesses for operation. They had hoped that securing space in the new shopping mall would provide an opportunity to grow their businesses and attract customers.
However, several traders reportedly complain that they have struggled to make profits during the first six months of operation. Monthly rental fees for the shops are said to range between Shs4 million, Shs5 million and Shs9 million, depending on the space occupied.
The reported increase has therefore created fresh concerns among traders who are already struggling with the cost of running businesses in Kampala. Some fear that additional expenses could make it increasingly difficult to recover their initial investments, especially for those whose shops are currently closed.
The traders are now questioning the new charges and wondering how they will survive if the additional costs remain in place. However, the claims about the increased fees and shop closures have not been independently verified, and management’s explanation or response was not included in the information provided.
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