The government has released Shs19 billion to facilitate 1,841 verified traders who suffered losses during floods in Kampala, but the relief programme has come with conditions, including a restriction on conducting business in basement premises designated for vehicle parking.
The move has prompted concerns among traders operating in basement shops, who have asked the government to first engage Kampala Capital City Authority (KCCA) and landlords before enforcing the restrictions.
The traders argue that KCCA, as the authority responsible for regulating businesses and issuing trading licences in the city, should be consulted to establish why businesses were allowed to operate in basement premises in the first place.
They say some of them obtained the necessary licences to conduct business in these spaces and should therefore not be left to bear the consequences of the new restrictions.
The traders have also appealed to the government to engage landlords and encourage them to reduce rent charges in the upper sections of arcades to enable them to relocate their businesses.
According to the traders, basement shops are relatively cheaper compared to those on upper floors, making them more affordable for small-scale business owners operating with limited capital.
They fear that without affordable alternative premises, the restriction could force some businesses to close or relocate, worsening the financial difficulties they are already facing following the floods.
The traders have consequently called for consultations involving the government, KCCA and landlords to ensure that flood recovery measures do not create additional hardships for affected business owners.
