Today marks a step forward for ride-sharing in Malaysia as Najib shows support by providing incentive through Budget 2017. This is Uber's response.

Published 2016-10-21 23:20:50

Today saw the announcement of Budget 2017, tabled by our Prime Minister Dato’ Seri Najib Abdul Razak at the Parliament where the theme for this year’s budget speech revolved around “Accelerating Growth, Ensuring Fiscal Prudence, Enhancing Well-being of the Rakyat”.

One of the key points he brought up concerned the ride-sharing app Uber, and how Malaysians can benefit from being a driver for this service.

“To assist the B40 group, especially BR1M recipients to generate additional income, the Government will encourage their participation as ride-sharing drivers such as UBER drivers, particularly those who own vehicles. Their income could reach up to RM1,500 per month for part-time drivers working between 10 to 40 hours per week, and RM4,300 if more than 40 hours per week,” said Najib during his speech.

He also added that those who do not own a vehicle, Putrajaya will be assisting with the down payment using BR1M and a rebate of RM4,000 will be provided for the purchase of Proton Iriz.

Soon after, Uber has released their own response to this statement.

Leon Foong, general Manager of Uber Malaysia, represented the service in saying how delighted he was that the Government recognises how Uber can positively impact the socioeconomic status of Malaysians in the B40 segment.

“By providing the choice to earn at the touch of a button to Malaysians from all walks of life, driver-partners can provide for themselves and their families, as well as have greater independence to pursue their dreams,” said Leong in a press release.

“We are also thrilled to be engaging Proton, the national car manufacturer, as a partner, and will make an announcement with more details soon. This is the first of its kind in the world for Uber. Just as Uber has been a key pioneer in the ridesharing industry, Proton has also pioneered the automotive industry in Malaysia. We share the same vision to drive Malaysia forward through technological innovation and creating economic opportunities,” he continued.

Leon believes that this initiative provides tangible growth and economic empowerment for our country as well as being a clear win for the ride-sharing industry.

This announcement comes just a week after the reports of around a thousand taxi drivers returning their taxis due to loss of income. This new statement from Budget 2017 begs the question of how it would affect the taxi industry in Malaysia moving forward and how Uber as a player in the ride-sharing field would continue to play this to their strength and grow their influence further.

Feature Image Credit: Compiled from channelnewsasia.com & Uber

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