By PATRICK BEJA
Matatu owners have been asked to embrace buses and comply with traffic rules to enhance returns.
Matatu Owners Association (MOA) national chairman Simon Kimutai claimed matatu owners had been turned into poor millionaires because their proceeds went to corrupt traffic police officers and illegal gangs.
He said the matatu owners collect more than Sh500 million daily, but end up being heavily indebted because of corrupt activities.
He was speaking during a campaign forum at Royal Court Hotel in Mombasa meant to promote bus business.
The meeting was also addressed by General Motors’ Managing Director William Lay, Invesco’s Geofrey Njenga and officials from the Co-operative Bank.
"You should now form savings and credit societies and venture into bus business because operating matatu is no longer profitable," Kimutai said.
Mr Lay said General Motors was ready to seize the opportunity and supply buses to replace the 14-seater matatus countrywide.
"We have the capacity to supply the country with the buses required by the market," he said.
Kimutai warned that the bus business venture might be taken up by foreign investors if matatu owners failed to take up the opportunity.
"We formed the compliant bus venture about two years ago, and we started with one bus. Now we have 40 buses," he said, adding that bus business has been more profitable because cash was not siphoned through corruption like in the matatu trade.
Elsewhere in Taita Taveta, public transport was yesterday paralysed after matatu operators withdrew vehicles to protest against poor state of the Voi-Mwatate-Wundanyi road.
Hundreds of passengers were stranded in Voi, Mwatate, Wundanyi and Taveta towns following the strike that also involved taxies, tuk tuks and motorbike operators.
Scores of horticultural and dairy farmers incurred losses, as their produce could not reach the market.
Anti-riot police kept vigil as matatu operators demonstrated accusing the Government of failing to address their plight.
