Uber Re-Enters Tanzanian Market

Uber, the global ride-hailing app, has resumed its services in Tanzania after settling drivers’ commission cap dispute with the government.

Uber halted its services in Tanzania last year in April, following the introduction of legislation capping the maximum commission for drivers at 15 per cent from the previous 33 per cent.

According to Uber, the new regulations made it tough for them to continue operating. The government, on the other hand, defended the commission cap saying it would help maintain competition and ensure affordable taxis. After months of negotiations, Tanzania’s transport regulator last month allowed ride-hailing companies to charge up to 25 per cent commission and a 3.5 per cent booking fee.

In a statement, Uber said, “We are excited to kick off the year on such a positive note by re-entering the Tanzanian market. It is our priority to provide a platform where drivers can make substantial earnings while providing convenient and reliable options for riders In Tanzania.”

The move is seen as a win for both drivers and riders in Tanzania, as it provides a reliable platform for drivers to earn a substantial income while providing convenient options for riders.