This archive report was first published on 9 January 2020.
According to official data from the Kenya National Bureau of Statistics (KNBS), the total units of boda bodas and tuk tuks imported in the first nine months of 2019 rose to 181,565 units, a 26 percent increase from the 143,966 units imported in the same period in 2018.
The increased imports came despite a credit crunch that saw banks shun lending to individuals and small businesses considered highly risky following the introduction of the interest rate cap, which was later scrapped in 2019.
Motorcycle taxis, also known as boda bodas, have emerged as a significant employment avenue for young people in both urban and rural areas, with official data showing that they employed 258,900 people as of December 2018.
The sector is estimated to contribute Sh700 million daily to the national economy, with each motorcycle consuming an average of Sh200 daily worth of fuel and more cash spent on payment of loans, savings, and meeting family needs.
The affordability of boda bodas, which cost between Sh58,000 to Sh150,000, has enabled many youths across cities and rural areas to acquire them, making them a popular alternative for ferrying passengers and goods for small businesses in Nairobi and other parts of the country.
