Sep 09, 2019 known for its uniqueness, kenya has witnessed a rapid growth over the past 1 years in the matatu culture, and were proud of it. If the matatu industry is in tatters, and transportation at. Matatu is a name associated with kenya public transport sector referring mostly to the low capacity public service vehicles. It was not until 1984 that matatus were required to have psv license due to a new policy.
Advantages and disadvantages of matatu business venas news. In kenya and neighboring nations, matatu or matatus are privately owned minibuses or public vehicles. The term matatu is derived from a local kikuyu vernacular word mang. The matatukenyas colorful carrier watchtower online. The objective of this research project is to establish the effect of mergers and acquisitions on the financial performance of petroleum firms in kenya. The origins of matatu industry can be traced from the type of transport system that operated in towns in the early 1960s. Walking and matatusprivatelyoperated paratransitaccount for 89% of all adult commuting in urban kenya.
Antony njugunareuters the future of nairobis informal transit. Kenya has a large manufacturing sector serving both the local market and exports to the east african region. The sector, which is dominated by subsidiaries of multinational corporations, contributed approximately % of the gross domestic product gdp in 2004. Effect of financial management practices on profitability of. The digital matatus project in nairobi, kenya set out to test whether the. Paper prepared on ipar policy brief on the matatu industry in kenya. Livelihood, conditions of work, regulation and road safety. Part of the culture i am talking about is the matatu culture. And while the matatu industry is specific to nairobi, issues surrounding. Feb 05, 2018 black label kenyas matatu industry nairobi explorer. In kenya the poor management of the sector, in particular the public transport component has left a gap which has attracted many poorly coordinated service.
Heres the most pimped matatus plying kenyan roads photos. Away from that, here are advantages and disadvantages of matatu business. The organization and future of the matatu industry in nairobi. Company is working in general business business activities. At the country level, transport in kenya plays an important role in integrating the. And from the previous advise youve given other people i have decided to buy a second hand 33 seated instead of taking a loan. Matatus are the informal paratransit industry in kenya that provide service to millions. The kenya wildlife service is in charge of 8,900 km of roads in the national parks and.
Facebook is showing information to help you better understand the purpose of a page. Acquiring a matatu for the business requires a minimum initial capital of 500,000ksh. The vibrant, flashy, colourful matatus zip the streets making heads turn and drawing the wrath of the countrys traffic marshals. The passenger road transport industry in kenya matatu vehicles dominate the commuter transport in kenya, especially in urban areas. There was also a discussion of the two groups merging in 2007, but the talks to. Organization of and stakeholders in matatu industry. Matatus are the informal industry in kenya that provide service to millions of people each day and are essentially the backbone of the transportation system in kenya. A new study has shone the spotlight on kenya s public transport sector, accusing it of flouting laws meant to protect drivers and conductors. In kenyas capital city, nairobi, streets are regularly gridlocked. Initially, the kenya bus service existed since 1934 as the sole legal provider of public transport services aduwo, 1972.
The organization and future of the matatu industry in. The lowdown on investing in the matatu business trevor lamenya 24th may 2017 09. Pdf improving tax compliance in the informal sector. Kenya that provide service to millions of people a day. Black label kenyas matatu industry nairobi explorer. National and industry institutions combine with firm resources to shape the. Jan 20, 2020 kenya is truly the silicon savannah of africa mainly due to the inventions, creativity and above all the culture of the people. But to someone in kenya for a brief visit, matatu culture may come as a shocker. If kenya needed a 44 th culture, it would be the matatu culture. The public transport matatus in kenya makes a significant part. No other country has a vibrant, artistic public transport system culture like kenya. How cs henry rotich plans to tax matatus, kiosk operators.
Over the years, this sector has remained chaotic and mismanaged and many investors have kept a distance. Often decorated, many matatu feature portraits of famous people or slogans and sayings. Each matatu is louder than the next, complete with graffitistyle artwork, custom designs, flashy lights and onboard entertainment to pull the crowds. I am set to join the matatu industry, i have a good manager who i believe will take my business forward. Use features like bookmarks, note taking and highlighting while reading matatu.
How to tame the rogue matatu industry in kenya and create millions of jobs. Kenyas matatu paratransit transport industry is the dominant mode of transport of both passengers and goods in the country. Explore 114 listings for matatu for sale in kenya at best prices. It may not be wise to venture into it if you are tied up in an office job from 8 am to 5 pm. Feb 20, 2015 frequently asked questions on matatu investment 2015.
Jennifer graeff is project coordinator at the center for sustainable urban development csud. The matatu, a smallscale public transport vehicle in kenya, is vital in both rural and urban areas for the movement of people and goods. Matatu owners association pdf we celebrate our 11th anniversary this year with lots of promise and hope concerning the future of the industry. Although their origins can be traced back to the 1960s, matatu saw growth in kenya in the 1980s and 1990s, and by the early 2000s the archetypal form was a gaily decorated japanese microvan. I have asked the kenya revenue authority kra to explore ways of taxing the informal sector and to redouble their. It also involves pimping the matatu with modern digital display. For the analyses in this article, we combine respondent answers to. Kenda mutongi has written an excellent new book, combining archival work and ethnography, to reveal the history of this industry, and, more broadly, of urban africa. The story of the matatu is a story about nairobis place in a global economy.
Matatu culture photos why we are the best urban kenyans. If there is a sector in kenya that mints billions of shillings everyday but goes unregulated is the matatu industry in kenya psv. The government seeks to protect its citizens from harassment, exploitation and mistreatment associated with the matatu industry. Graffiti artists try to make each matatu louder than the next with custom designs covered in flashy colors, and state of the art entertainment. The matatu sector in kenya has undergone immense transformation, from the unregulated, chaotic 1990s to a more client focused and fairly safe industry. This is by conducting an industry analysis of the petroleum sector in kenya. A visitor to kenya is never short of superlatives when describing his trip. Transport plays an important role in integrating the various sectors in the economy. Frequently asked questions on matatu investment 2015. Graffiti designers paint matatus at the choda fabricators garage in nairobi, kenya, 05 april 2018. Institutions and business strategies of matatu operators.
Cooperatives of matatu industry sector in nakuru county, kenya king angi ruth murugi and ngahu solomon thuo school of business, jomo kenyatta university of agriculture and technology abstract the study examined cash management as one of the determinants of financial sustainability of saccos in the matatu industry in nakuru county, kenya. The government of kenya has come up with various laws and regulations for the public transport sector. The organization, issues and the future role of the matatu industry. How to tame the rogue matatu industry in kenya and create. How graffiti artists are driving the matatu industry in. Matatu matatu is taken from the kikuyu term mangotore matatu which translates into thirty cents, which was the standard fare when matatus emerged on the transport scene in the late 1950s. Mordernization of matatu industry in kenya youtube. Public transport is mainly provided informally by private operators in major cities in africa. Formalising the matatu industry in kenya repository home. Sep 28, 2015 heres the most pimped matatus plying kenyan roads photos by mwendo monday, 28 sep 2015 06. Download it once and read it on your kindle device, pc, phones or tablets. This is money one can use to buy a second hand matatu that has been on the road for 68 years. I have developed great interest for the matatu industry. Political challenges nairobi county has been plagued with a quick fix mentality.
Being informal businesses, matatu are characterized by lack of observation of traffic regulations and this has led to a large number of road crashes and associated fatalities and injuries. Currently, about 80 per cent of those using urban public transport are served by matatus. The minimum amount of initial capital you can expect to inject to get your matatu on the road is ksh500,000 assuming you buy an old van which has been used locally for several years. What you need to know about matatu business in kenya. The findings of the forth objective of the study, which was to establish the milestones that have been gained in regulation of the matatu transport industry, revealed that matatus are.
Regulated competition will mean that the matatu industry will be formalised and measures introduced to enhance its economic viability, standards, ethics, behaviour and. By 2000, there were about 40,000 matatus in operation in kenya. They are fashioned out of 14seater vans or 32seater passenger buses. This paper examines the struggle for livelihood in the matatu industry and the resultant problems of conditions of work, regulation and road safety. You only need two 24 seater matatu vehicles to make a million each month in nairobi. Psv owners on the spot for flouting labour laws business. Jul 03, 2018 the matatu industry has undergone immense transformation from the unregulated,chaotic 1990s to a more client focused and fairly safe industry. Matatu culture is a system where the matatus are often decorated in graffiti art featuring portraits of famous people or slogans and sayings. See actions taken by the people who manage and post content. However, that the majority of the matatu operators support phasing out of the 14 seater matatus.
Policy twists and turns overview public transport in kenya has attracted many policy debates which remain unresolved. But matatu business is lucrative to those who are willing to take the risk and venture into the business. Matatus public transport busesvans are iconic on the busy streets of nairobi. A case study report dorothy mccormick university of nairobi winnie mitullah university of nairobi preston chitere university of nairobi risper orero kenya methodist university marilyn ommeh university of nairobi november, 20. The organization and future of the matatu industry in nairobi, kenya jennifer graeff project coordinator. A history of popular transportation in nairobi kindle edition by kenda mutongi. Kenya, with many operators joining them, a limited number of empirical studies. How cs henry rotich plans to tax matatus, kiosk operators and farmers.
And capital structure on the profitability of matatu industry in kenya public transport in kenya and especially in urban areas is dominated by matatu vehicles. The matatukenyas colorful carrier watchtower online library. With bright colors and blaring music, minibuses known as matatus fill the streets of nairobi, kenya. I am looking for financial assistance to help in data correction and i am willing to share the information on my findings to matatu owners association see more. An elephant matriarch, a majestic lion, and a crimson sunset are vivid images that remain with the traveler. Route changes are often developed by the matatu industry, not the. This lack of enforcement could change, however, in the light of kenya. Jun 24, 2014 colourful carriers ruling the streets. Challenges affecting investment in public transport matatu industry in nairobi kenya oira, a. Most people always see women who work in the matatu industry. Known for its uniqueness, kenya has witnessed a rapid growth over the past 1 years in the matatu culture, and were proud of it. The illegal matatu sector has created many jobs and contributed to the economy. The organization and future of the matatu industry in nairobi, kenya. Matatu culture in kenya beach holiday journey kenya.
Dec 15, 2012 commonly asked questions about investing in the matatu industry. Aug 22, 2017 every matatu driver has been in jail at least once, says james kariuki, a 20year veteran of the industry. Matatus comprise the informal paratransit industry in kenya that provides service to millions of people a day and. Analysis of route management in the matatu industry in nairobi a. Currently, a matatu is described as a 14seater nissan andtoyota shark models normally used in several routes in the country. One debate which continues to engage policy makers, practitioners and the general public is how to handle the matatus, a form of public transport which has remained. With thousands of matatus operating in the city, there are some characteristics or rather types of matatu touts makangas who work in this industry and below is the list. The role, efficiency and quality of service of the matatu. Javascript is turned off, or your browser is realllllly slow. Small businesses that can make you rich quickly in kenya. The astronomical growth of the public service vehicles, particularly that of the matatu transport cooperatives has created challenges of overcrowding in literally all towns in kenya. Matatu business as much as there are controversies surrounding matatu industries in kenya, there are a million success stories emanating from industry players.
Exploring public road passenger transport in kenya. I am student pursuing my phd my thesis topic is influence of strategic planning process on performan. A large and growing informal economy is an issue of concern for many developing countries. The matatu owners employed strategies that can usefully be. Regulations in the public transport industry in kenya are in the form of laws and bylaws. In kenya matatu known as mathree in sheng or matatus are privately owned minibuses, although pickup trucks and estate cars were in the past pressed into service as these kenyan share taxis. Matatu for sale in kenya april 2020 the star, kenya. The target population was 276 stakeholders in the matatu industry in eldoret. Efforts to improve road safety in kenya achievements and limitations of reforms in the matatu industry. Commonly asked questions about investing in the matatu industry. The matatu culture is very big in kenya, the minibuses are decorated with colorful graffiti inside and outside and most of them are equipped with tv screens, highspeed internet, and power sockets.
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