THIS WEEK: Nakumatt leaving the Ugandan market!

Kampala, Uganda| THIS WEEK |  Regional retail chain, Nakumatt Holdings, could soon be leaving the Ugandan market after Uganda Revenue Authority closed its head office at Kumambogo Gayaza and the main branch at Oasis Mall over tax arrears.

The Kenyan supermarket chain, which started operations in Uganda in June 2009 pioneered the 24-hour concept that was welcomed by the local population. But lately, the retail chain has been facing hardships in its financial flows citing hard economic environment and stiff competition from the local retail chains.

A URA official said the supermarket has unpaid taxes adding to over Shs 300million but could be allowed to resume operations once it makes part of the payments.

Nakumatt is also hounded by many lawsuits from suppliers and creditors totaling to over sh5.2billion.

The new development comes barely two months since the retail chain shut down three stores – at Acacia Mall – Kololo, Village Mall – Bugolobi and Victoria Mall – Entebbe.  Earlier the retail chain had closed Katwe branch.