Financial relief is at hand for distressed taxi operators after Transport Minister Fikile Mbalula said banks had committed to offer the industry reprieve in the form of payment holidays.
The announcement followed Mbalula’s engagements with the Banking Association of South Africa.
“We have also held productive engagements with the Banking Association of South Africa on further relief measures they can extend to the taxi industry,” said Mbalula.
“Individual banks have their own procedures and measures in place and will make the appropriate pronouncements in this regard. The banks will also in due course communicate their decisions to the borrowers and the public in this regard on their COVID-19-related relief measures,” he added.
Mbalula and the taxi industry have endured a fraught relationship in the past few months due to lockdown regulations which capped the number of passengers a minibus taxi can carry.
The industry also locked horns with Mbalula government’s coronavirus relief fund efforts. The industry demanded significantly more relief aid than government was offering and threatened to defy government’s regulations by going back to a 100% loading capacity.
The industry scored a major victory when President Cyril Ramaphosa announced that taxis would be allowed to operate at 100% capacity for short-distance trips. However, taxis which travel further than 200km would be limited to a maximum capacity of 70%.
Mbalula urged the taxi operators to adhere to the regulations set out for public transport to protect themselves and passengers from COVID-19.
“No person or passenger will be allowed to use any form of public transport or enter a building, place or premises if they do not wear a cloth face mask or a homemade item or another appropriate item that covers nose and mouth,” Mbalula stressed.
