"The explosive device was planted under a pile of rubbish near a police post," police officer Abdi Bare told AFP.
"Two people are confirmed killed and seven others, mainly civilians, were wounded," he added.
There was no immediate claim of responsibility, but Somalia's Al-Qaeda linked Shebab have carried out a string of similar bombings, and have vowed to increase attacks during the fasting month of Ramadan.
The roadside bomb ripped through Mogadishu's Karan market, in the north of the capital, where people were busy buying food to celebrate the breaking of the fast with their families at sunset.
Last week the Shebab commander in Mogadishu Sheikh Ali Mohamed Hussein warned attacks would increase with the capital becoming the "frontline" for assaults.
"Mujahedeen fighters will intensify strikes on the enemy," Hussein said in a radio broadcast Sunday.
Shebab fighters fled fixed positions in Mogadishu three years ago and have since lost most large towns to a 22,000-strong UN-backed African Union force, fighting alongside government soldiers. However, the extremist fighters still regularly launch guerrilla raids.
Last week Shebab commandos attacked an AU military base in central Somalia dressed in stolen government army uniforms, killing at least two soldiers from Djibouti.
But the Islamists also threaten other countries in the region, especially those contributing troops to the AU force, including Burundi, Djibouti, Ethiopia, Kenya and Uganda.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
