Mogadishu is the largest city in Somalia and the nation's capital. Mogadishu is the commercial and financial centre of Somalia. Although the economy has recovered somewhat from the civil unrest, the Somali Civil War still presents many problems. The effective absence of government yields free trade without taxes or regulatory expenditures, but comes at the cost of civil society and infrastructure. Businesses have hired armed militias to provide security against gunmen, leading to a gradual reduction in open street violence. However, high levels of crime including frequent murders and occasional bombings are still rampant in the city. Somalia is in Eastern Africa, bordering the Gulf of Aden and the Indian Ocean, east of Ethiopia. The climate is principally desert, hot and humid with irregular rainfall. The official languages are Somali and Arabic. English and Italian are also spoken. Arabic is chiefly spoken in the north and the coastal regions, while Swahili is used in the south. The main religion is Islam. The economy of Somalia has, despite civil unrest, maintained a healthy informal economy, based mainly on livestock, remittance/money transfer companies, and telecommunications. While requirements vary from one area to another, parts of Somalia are very conservative Islamic areas and local Islamic sensibilities should be respected. Expatriate business dress is typically a suit for men, conservative clothing covering the arms and legs for women. The security risk for expatriates in Somalia is extreme. Risks include militant attacks, abduction, landmines and violent crime. The currency of Somalia is the Somali Shilling (SOS). Credit cards are not accepted. Medical facilities are basic in Hargeisa and extremely limited or non-existent elsewhere. The population of Mogadishu is 2.4 Million (2018 est.), while the inflation rate (CPI) is -3.6% for Somalia as at December 2016. Xpatulator Hypothetical Tax for Somalia is based on the current personal income tax rates which are progressive up to 10%.
Cost Of Living
The cost of living for expatriates / professional migrants in In Mogadishu, the cost of each basket, based on local prices, compared to the international average, is categorized follows (Exact cost of living percentages only available in personalised reports): Mogadishu as at 1 January 2019 is very high in comparison to other places in the world. 1) Alcohol (where available) & Tobacco: Very High 2) Clothing: Very Low 3) Communication: Low 4) Education: Average 5) Furniture & Appliances: Very High 6) Groceries: Very High 7) Healthcare: Average 8) Household Accommodation: Very High 9) Miscellaneous: Very High 10) Personal Care: Average 11) Recreation & Culture: Very High 12) Restaurants Meals Out and Hotels: Very High 13) Transport: High Mogadishu is for example 56.4% more expensive than Houston TX for groceries, 67.1% more expensive for household costs than Kuala Lumpur, and 71.9% more expensive for transport costs than Dubai. The hardship premium for Mogadishu for an expat from Perth, is for example 30%, i.e. host location (Mogadishu) premium of 40% minus home (Perth) location premium of 10%. Mogadishu is ranked as a extreme hardship location. Want to know more about cost of living, hardship (quality of living) or expat salary in Mogadishu? Register subscribe to your home location and Mogadishu and run your personalised reports.