By Naledi Nyoni
HARARE — Cabinet has given Zimbabwe’s fast-growing e-hailing industry a five-month moratorium as government moves to tighten regulation of services such as Bolt, InDrive and Tap & Go, amid concerns over passenger safety, tax compliance and the lack of a coherent regulatory framework.
Information minister Soda Zhemu said after Tuesday’s Cabinet meeting that the moratorium was approved as an interim measure while authorities undertake a broader review of the sector, potentially ending years of regulatory uncertainty for an industry that has become a lifeline for commuters and a source of employment, particularly for young people.
Cabinet said e-hailing platforms had provided “convenient, affordable and more dignified services” while creating employment opportunities, but acknowledged that regulatory challenges were undermining the ease of doing business.
Under the measures approved by Cabinet, e-hailing companies, operators and drivers will be expected to work towards a self-regulating framework covering driver conduct and passenger safety.
Government will also begin registering e-hailing transport businesses with the Zimbabwe Revenue Authority (Zimra), while operators already registered as businesses will be required to obtain tax registration.
The Ministry of Transport and Infrastructural Development has separately been tasked with developing formal e-hailing transport regulations after consultations with industry players and regulators, drawing on international best practices.
Cabinet said the eventual regulations must ensure that e-hailing services remain safe, secure, convenient and affordable, in line with the government’s National Development Strategy 2.
But the five-month moratorium also exposes the extent to which government has allowed the sector to expand ahead of a clear regulatory framework.
E-hailing has grown rapidly as commuters increasingly turn to app-based transport, while thousands of drivers have entered the sector as traditional employment opportunities have shrunk.
Cabinet did not spell out what regulatory measures would be imposed after the moratorium or whether existing operators would face new licensing, taxation or compliance costs once the review is completed.
Instead, the government said consultations would precede the development of the regulations.
The review forms part of a wider Cabinet exercise to streamline licences, permits, levies and fees across 13 sectors, with government saying the reforms are intended to reduce the cost and complexity of doing business.
However, the decision to bring e-hailing under closer regulatory scrutiny could have major consequences for both operators and passengers if new compliance requirements increase the cost of providing the services.
For drivers who have turned to platforms such as Bolt and InDrive for income, the key question will be whether the new framework protects their livelihoods while imposing enforceable safety and tax obligations.
Passengers, meanwhile, will expect regulation to translate into greater accountability without destroying the affordability that has made e-hailing increasingly popular.
Cabinet said the measures were intended to strike that balance.
The government also named GoFaster, KOSE and other platforms among operators affected by the review, signalling that the exercise is not limited to the country’s most prominent international e-hailing brands.
Zhemu said Cabinet had approved the interim measures following consultations with players in the industry and regulatory authorities.
The minister said the review was necessary to address regulatory challenges while preserving the benefits the sector has brought to Zimbabwe’s transport system.
For now, operators have five months to navigate the transition as government attempts to catch up with an industry that has already transformed how thousands of Zimbabweans move around the country’s cities.
