Kenya ride hailing taxi drivers reach deal for higher fares after week of strike

NAIROBI (Reuters) – Kenya's transport ministry and groups representing drivers working for taxi hailing firms in the East African country signed a deal on Wednesday .

Kenya is Uber's second-largest market in sub-Saharan Africa, after South Africa. It competes against its global rival Taxify, which has gained popularity in Nairobi in the past year and has a half goal of not declining numbers of active riders and users.

Other companies operating hailing services in Kenya are Taxi Fone, Pewin Cabs and Little Cab.

As in other markets, these services in Kenya and other hostility from other taxi drivers.

Most of this week, after the drivers went on strike to protest low fares.

"All that we were looking for, we have been given. All the drivers are now happy. And everybody will now go to work, "David Muteru, chairman of the Digital Taxi Association of Kenya, representing more than 2,000 ride hailing taxi drivers, said after the signing of the agreement.

Under the new deal, the badociation will cushion drivers in the event of falling fares, while the taxis will have to inspected by the government transport and safety authority .

Previously, for instance, Uber has an average of 14 shillings per kilometer, with 25 percent of this going to the company, and the rest going to the driver, Muteru said.

Uber the new deal would go up to 33 shillings per kilometer, with 25 percent going to Uber, he added.

A spokesperson for Uber did not give further details on their fares, but said in an emailed statement they welcomed the agreement.

In Uhuru Park in central Nairobi, hundreds of drivers working for Uber, Taxify, Mondo, and Little Cab sounded their horns and blew whistles to celebrate the deal.

Martin Simiyu, who has been working for a long time, said a few words.

"It makes it difficult for my life right now," he told Reuters.

"We are coming to a place where we can not service these vehicles, we can not take care of our family, we can not pay the loans. It becomes hard for us. Why should I keep the vehicle on the road? I'm not getting anything out of it? "