Matatu Owners Association Chairman Albert Karakacha on Wednesday, July 5, revealed that they were willing to review the 30 per cent fare hike should President William Ruto cushion them against the increased fuel prices.
Speaking during an interview on Spice FM, the entrepreneur proposed the introduction of subsidies for the transport sector and its players.
He listed subsidies on fuel and decreased loan interests for matatu owners as a first step intervention.
"If the government can come and give us something like a subsidy then we will take the (30 per cent fare hike) down. It really relies on the government.
"The government can lower the loans we are getting from banks. In other countries, the government must give subsidies to the transport sector," he stated.
Karakacha acknowledged that many Kenyans were struggling to make ends meet noting that the fare hike only added more burden to passengers.
On the other hand, the chairman hinted that they were planning to commence talks with the government on ways of cushioning Kenyans from the slums and other areas against the high fare prices.
However, he maintained that matatu owners had to increase the fares by 30 per cent owing to projected changes in prices for vehicle spare parts among others.
According to Karakacha, the recent review by the Central Bank of Kenya (CBK), which increased its interest rates by 10.50 per cent, also played a part in their decision.
The matatu owners raised transport prices by 30 per cent after the Energy and Petroleum Regulatory Authority (EPRA) raised fuel prices by Ksh13 following the enactment of the Finance Act which increased VAT on fuel products from 8 -16 per cent.
Currently, a litre of Super Petrol costs Ksh195.53 while Diesel costs Ksh179.67 in Nairobi.
Another review is expected to be done on July 14 as is the norm.
Ruto Arrives in Rome for Pope Francis Burial News Just In
