Majority of Nairobi Ride-Hailing Users Oppose Government’s Minimum Fare Proposal

A recent survey conducted by TIFA Research indicates that most ride-hailing passengers in Nairobi are against the government's proposed minimum fare increase for platforms such as Uber, Bolt, Little Cab, and Faras.

The policy aims to improve drivers' earnings by setting a higher minimum fare, currently between KES 180 and KES 220. However, the survey of 733 Nairobi residents, carried out from July 17 to 21, 2026, shows that 59% of riders oppose the change while 39% support it.

Concerns Behind Opposition

• 36% of opponents believe fare prices should be determined by market competition, not government mandates.
• Another 36% worry the policy will lead to more expensive rides.
• Supporters, making up 39%, mostly cite driver welfare (16%) and the need for regulation (12%) as reasons to back the proposal.

Respondents were informed that the minimum fare would increase to improve driver earnings before sharing their views, ensuring opinions were based on the policy’s intent rather than speculation.

Government’s Proposed Figures and Impact

Though the survey preceded the government's August 4 announcement of transitional minimum driver take-home pay targets, it highlighted the potential challenges ahead. The Ministry of Transport suggested minimum driver earnings ranging from KES 219 for small cars to KES 388 for larger vehicles. These amounts represent driver income, not the passenger fare, which also includes platform fees, taxes, distance, and dynamic pricing.

Industry insiders estimate that the final passenger fare minimum could rise to between KES 400 and KES 500, more than double the current base fare. However, these figures remain under consultation and may change following sector workshops.

Low Awareness and Potential Shifts in Commuting

Only 27% of surveyed riders had prior knowledge of the minimum fare proposal, meaning most formed opinions during the interview. The survey also reveals that many riders might reduce their use of ride-hailing services or switch to more affordable alternatives like matatus if fares increase.

This shift could reduce ride-hailing demand even as drivers earn more per trip, potentially resulting in fewer rides overall—a scenario that could undermine the policy’s goal of increasing driver income.