The Rental Issue in Mogadishu:  

Executive summary

The high cost of rent in Mogadishu is a major challenge for the city. It makes it difficult for people to afford housing, which can have a negative impact on their health and well-being. It also makes it difficult for businesses to operate and for the government to provide essential services. The government needs to address the underlying causes of the problem and implement some of the possible solutions in order to make housing more affordable for the people of Mogadishu.

What is the Rental Issue in Mogadishu?

The rental prices in Mogadishu are very high and they have been increasing in recent years this is due to a number of factors including the increasing population of the city the lack of affordable housing and the high demand for rental properties rent prices in Mogadishu have been rising steadily in recent years making it difficult for many people to afford housing. In some cases, rent prices have doubled or even tripled in a short period of time.

The rental problem in Mogadishu is having a number of negative consequences one consequence is that it is making it difficult for many people to afford a place to live. This is forcing some people to live in overcrowded and unsafe conditions. Another consequence is that it is making it difficult for businesses to attract and retain employee’s businesses are finding it difficult to find employees who can afford to live in the city.

The rent issue in Mogadishu refers to the practice of rental land that is not owned by the lessee this is a growing problem in the city as the demand for land has increased due to the ongoing development boom

Why is this a Problem

Insecurity:some parts of the city are still considered to be unsafe which drives up the demand for housing in more secure areas. Insecurity can make it difficult for businesses to operate. this can lead to job losses which can further increase the demand for housing. The city of Mogadishu is still recovering from years of conflict, and insecurity remains a major concern for many residents. This insecurity can make it difficult for people to feel safe and secure in their homes, which can lead to a decrease in the demand for rental housing.

Relative Security: other parts of the city are relatively safe, which attracts people from other parts of Somalia who are looking for better opportunities

Rapid Urbanization:Mogadishu is one of the fastest growing cities in the world, and this rapid urbanization is putting a strain on the city’sinfrastructure, including its housing stock. The demand for housing is outpacing the supply, which is driving up rents.

Economic Growth: thisSomali economy has been growing in recent years, and this growth has led to an increase in disposable income for some Somalis. This has led to an increase in the demand for rental housing, as people with more money are able to afford to rent more expensive homes.

Increased Demand: the population of Mogadishu has been growing rapidly in recent years, due to a combination of factors such as displacement from conflict, economic opportunity, and access to education and healthcare. This increased demand has put upward pressure on rents.

Lack of Affordable Housing: there is a shortage of affordable housing in Mogadishu, which makes it difficult for low-income residents to find a place to live. This can lead to overcrowding and homelessness. There is a limited supply of affordable housing in Mogadishu, and the cost of rent is rising. This is due to a number of factors including the high cost of construction materials, the high cost of land and the high cost of labor.

The Influx of Foreign Aid Workers and Diaspora: in recent years there has been a significant increase in the number of foreign aid workers and Diaspora in Mogadishu, both often have high salaries which drives up the demand for housing and pushes up rents.

Land Speculation: some investors have bought land in Mogadishu with the sole intention of reselling it at a profit. This has also contributed to the rise in land prices.

The Key Consequences of Increasing Rent in MogadishuInclude.

Increased Poverty: The high cost of rent can make it difficult for low-income residents to afford to live in Mogadishu. This can lead to increased poverty and homelessness.

Social unrest: the high cost of rent can lead to social unrest, as people become frustrated with their inability to find affordable housing.  this can lead to protests and demonstrations.

Crime: the high cost of rent can make it difficult for people to make ends meet, which can lead to crime. This can make Mogadishu a less safe place to live.

Reduced Access to Education and Healthcare: the high cost of housing can make it difficult for people to afford to send their children to school or to access healthcare. this can have a negative impact on the quality of life and future prospects of many Somali.

Displacement: many people are unable to afford the high rents and are forced to move to less desirable areas or even out of the city altogether rising rent prices can force people to move to less desirable neighborhoods or even to leave the city altogether. This can lead to a loss of community and social support networks.

Reduced Economic Activity:the high rents make it difficult for businesses to operate in Mogadishu, as they have to pay higher rents for their premises. This can lead to reduced economic activity and job losses.

decreased quality of life: rising rent prices can make it difficult for people to afford basic necessities, such as food, clothing and transportation. This can lead to a decrease in the quality of life for many people in Mogadishu.

What Are the Solutions.

Improved Security:the government of Somalia needs to take steps to improve security in the city, in order to make it a more attractive place to live and invest. This would help to increase the supply of rental housing and reduce the cost of rents.

Increased Investment in Affordable Housing: the government and private sector need to invest in the construction of affordable housing, this will help to increase the supply of affordable housing and make it more accessible to low-income residents.

Government Regulation of Rents: government setting maximum rent prices or by requiring landlords to provide certain amenities to tenants, the government could regulate rents to prevent them from becoming too high. this would help to protect low-income residents from being priced out of the market them. Government is working to reform the land law in order to give more control over land to the government and to local communities.

Government Inaction: TheSomaliagovernment has not taken significant steps to address the rising problem of renting in Mogadishu. This lack of action has contributed to the problem, as it has allowed landlords to charge exorbitant rents without fear of government intervention.

Support for Small Businesses: the government of Somalia needs to support small businesses, in order to create jobs and stimulate economic growth, this would help to reduce poverty and make it easier for people to afford housing.

Support for Displaced People:the government and international organizations can provide support for displaced people who have been forced to leave their homes due to insecurity. This could include providing financial assistance, food and shelter.

Community-Based Initiatives:community-based initiatives could help to address the problem of housing insecurity by providing support to vulnerable groups, such as widows and orphans. community-based initiatives can play a vital role in addressing the problem of housing insecurity.by providing support to vulnerable groups, these initiatives can help people find affordable housing and improve their quality of life.

Get involved in your community: you can help to address the problem of rising rent in Mogadishu by getting involved in your community. You can advocate for policies that will help to make housing more affordable, or you can volunteer your time to help people who are struggling to afford rent.

What Is Being Done to Address the Issue.

in 2017 the government launched a program to construct 10000 affordable housing units the program is funded by the World Bank and the IslamicDevelopment Bank.

Conclusion.

The increase in rent has had a number of negative consequences for residents of Mogadishu it has made it more difficult for people to afford housing and has forced some people to live in overcrowded or substandard conditions.it has also made it more difficult for businesses to operate, as they have to pay higher rents.

The Somalia government has taken some steps to address the problem of rising rent, such as building more affordable housing. However, more needs to be done to address the underlying causes of the problem such as the ongoing conflict and the lack of economic opportunities.

The increase in rent in Mogadishu is a complex issue with a number of contributing factors, the Somali government and other stakeholders need to work together to address the problem and make housing more affordable for all residents of the city.

By Abdinur Ahmed Jama.
July  2023.
Monitoring, Evaluation, Research and Learning (MERL) Specialist.
wayrah12@gmailcom.