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MIDRAND, SOUTH AFRICA – Advocate Zanyiwe Asare, the Vice President of Yango Africa, has urged the Pan-African Parliament (PAP) to craft legislation that creates an enabling environment for ride-hailing services through balanced regulations in pursuit of promoting digital literacy and infrastructure development.
She made the remarks in her presentation yesterday before the PAP Sitting of the Committee on Transport, Communication, Science, and Technology at the continental legislative body’s headquarters in Midrand, South Africa.
“As this sector grows, there is a need to work with the Pan African Parliament to help enact regulations with clear guidelines for compliance and to work with regulatory bodies (Transport Authorities, Tax Agencies, Competition Commissions) to oversee enforcement of the laws governing the ride-hailing services sector. This should be coupled with the introduction of penalties for non-compliance and the establishment of dispute resolution mechanisms.
“Yango engages in regular reviews to adapt regulations to evolving business models and regional market dynamics. We are moving towards regional harmonisation through bodies like the African Union (AU) and African Continental Free Trade Area (AfCFTA) to support cross-border digital operations,” Advocate Asare said.
She emphasised the development of tailored legal frameworks addressing licensing, driver classification, taxation, and safety. The advocate added that public and industry feedback should be integrated into draft policies.
Draft regulations should be submitted to national parliaments for debate and approval. Possible revisions should be made with political, social, or economic considerations. Cross-ministerial collaborations ensure alignment with broader digital economy policies.
The comments come as the emergence of ride-hailing services within the gig economy has significantly influenced taxation frameworks, primarily by enhancing revenue collection through platform-driven transactions.
Ride-hailing platforms operate with digital payment systems, ensuring that all transactions are recorded and traceable. This transparency facilitates accurate tax reporting and minimizes the potential for underreporting income. Governments can thus effectively monitor earnings and enforce tax compliance among drivers and the platforms themselves.
Ride-hailing and delivery platforms like Yango have created thousands of jobs for young people. According to industry reports, over 65% of drivers and delivery partners are under the age of 35, illustrating how the gig economy is directly addressing youth unemployment.
Additionally, many of these young workers have leveraged their experience to transition into business ownership, expanding services such as vehicle leasing for other gig workers, demonstrating the gig economy’s potential to foster broader economic growth.
