The Banadir Regional Administration, through its Directorate of Revenue, has issued a new directive requiring all advertising billboards attached to city streets and roads to be registered for taxation purposes.

Tax Registration Mandate

Sowda Suudi, the Director of Revenue for the Banadir region, announced, “We urge the Somali public to be aware that taxes must be paid on billboards and signposts attached within the city.” Additionally, every company or business operating within Mogadishu must officially register their billboards, although the specific tax amount to be levied has not been clearly defined yet.

Nighttime Visibility and City Aesthetics

The administration also highlighted that non-illuminated billboards are not desired at night, criticizing them for diminishing the city’s aesthetic appeal. Consequently, illuminated billboards, specifically those known as ‘Boxlight,’ which are more expensive than their non-illuminated counterparts, are mandated for use, pushing many businesses to opt for the less costly non-illuminated options to avoid higher expenses.

Impact on Local Businesses and Political Campaigns

The taxed billboards, prominently placed along key roads and avenues in Mogadishu, serve as crucial advertising tools for reaching customers. Not only businesses but also politicians occasionally utilize these billboards for their campaigns.

It is noteworthy that businesses typically negotiate with printing companies for the placement and selection of suitable locations for their billboards as part of their advertising strategies.

Implications of the New Policy

This new regulation is expected to significantly impact both small and large businesses in the city, as compliance with the new laws becomes mandatory.