Protests erupted in Nairobi’s Central Business District on Friday, August 28, 2026, after traders rejected the government’s revised customs valuation directive on August 28.
Large groups of traders converged in Nairobi CBD before marching towards Times Tower, where they intended to present their grievances to the Kenya Revenue Authority (KRA) headquarters.
The demonstrations followed earlier mobilization by traders from major commercial areas including Kamukunji, Gikomba and Nyamakima.
During the protest, traders called for a review of the new customs arrangement, arguing it would increase the cost of importing goods and put further pressure on businesses already operating on tight margins.
“We are business people, and we are mature; we respect the law, and we have agreed that no one will destroy anyone’s property or cause harm to another individual. In addition, no one will abuse the other. Today is the day we fight for our rights,” one of the traders stated during a traders’ gathering at the Kenya National Archives.
According to traders, the increase in the customs yield for consolidated cargo from KSh2.5 million to KSh3.2 million will hurt the traders’ profit margin.
The traders have called upon the government to intervene and have demanded a return to the previous KSh2.5 million customs charge.
Business Shutdown Across Parts of CBD
Several businesses in parts of the CBD, including shops along Luthuli Avenue, have remained shut following the demonstration.
In addition, areas where traders depend heavily on imported merchandise were also shut down as the owners of the shops and facilities joined in the demonstrations.
Some business communities, however, chose to remain open and pursue dialogue rather than join the traders’ protests.
In response to traders’ refusal to support the closure of their businesses, the protesters forcefully demanded closure, with owners fleeing in fear for their safety.
Also Read: KRA Forced to Clarify New Business Taxes After Uproar and Protest Notice
Police Intervene in Nairobi Traders Protests
As the traders gathered for the planned demonstration, they marched through Nairobi’s CBD carrying placards stating that they disagreed with the government’s new taxes.
The traders had earlier gathered outside the National Archives before proceeding towards Times Tower, Archives before proceeding towards Times Tower.
However, as the traders proceeded towards Times Tower along Parliament Road, police used tear gas to disperse the demonstrators.
The police intervention during the protests raised concerns, as the traders said they had sought legal permission to hold a peaceful demonstration after writing several letters to the KRA to reverse the charges.
Despite the police dispersing the traders, members of the business community have stated that if their demands are not met, they will return to the streets on Friday.
“Today we had gathered for a peaceful demonstration to fight against the high charges; however, we were met by blocking, and police used tear gas on us. However, we will be back on Friday next week if KRA does not meet our demands,” a member of the business community explained.
Also Read: KRA Tightens Rules on Imported Goods
KRA Explains the KSh3.2 Million Charge
KRA has sought to calm the concerns by insisting that the KSh3.2 million figure does not represent a flat tax payable by every trader or a fixed value automatically assigned to every container.
The authority describes it as a minimum yield and risk-management reference used under a simplified customs clearance arrangement for consolidated cargo.
Despite KRA’s clarification, traders say the practical effect of the new arrangement is an increase in the cost of doing business.
Small importers whose businesses depend on consolidated shipments fear the change will make their merchandise more expensive to clear.
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