The United Boda Boda Cooperative Union has launched the National Boda Boda Stage Development Model to unlock financial independence for riders. The model is a professionalization initiative featuring programs designed to streamline the industry and promote economic empowerment through their SACCO, which will facilitate the establishment of a bank dedicated to supporting riders.
The initiative, themed “Empowering Boda-Boda Riders for Growth,” is supported by the government through the Ministry of Local Government. The Boda Boda industry is the second-largest employer in Uganda.
Data indicates there are an estimated 1.2 million Boda Boda riders in Uganda, with about 150,000 registered stages. In Kampala alone, there are 350,000 riders and 1,021 registered stages. However, the industry, a dominant player in urban mobility, faces challenges such as lack of management, high accident rates, limited access to financial services, and reported high crime rates among riders.
According to the 2023 police report, of the 37,449 accidents reported, 37% (13,856) were Boda-Boda related. Additionally, over 15% of the 228,000 reported crimes were connected to Boda-Bodas, imposing a significant financial burden on the government. Through their respective stages, riders will now gain access to financial services via the SACCO, which will be transformed into a bank. This initiative aims to improve their livelihoods while promoting road safety, environmental sustainability, and professionalism within the industry.
Frank Mawejje, Chairman of the United Boda Boda Riders Cooperative Union, addressed misconceptions that government efforts to regulate the industry aimed to eliminate it. “Today, we are pleased to see these misunderstandings resolved with the launch of the model, marking a significant step toward streamlining Boda Boda operations. This initiative will enhance financial empowerment, enabling better traceability and allowing more operators to benefit, including the establishment of our bank,” he said.
The model includes several programs, such as promoting health and road safety, encouraging environmental sustainability through the adoption of electric Boda Bodas, and launching the Union App. The app features a unique payment model, allowing riders to pay a subscription fee of Shs5,000 weekly without commission deductions, while enabling riders to negotiate ride prices with passengers.
The SACCO program allows riders to contribute a daily fee of Shs1,000, creating a collective fund they can withdraw after a set period for personal or business investments. Part of the contributions, Shs380, is allocated to local governments, enabling riders to contribute to national development. Additionally, the financing and leasing model under the initiative allows Boda Boda stages to acquire motorcycles for as little as Shs70,000, which can be leased out within their communities.
Beyond the professional aspect, the union has initiated a songwriting competition, offering winners over Shs250 million, and an annual festival that recognizes riders’ contributions to society. The festival also provides a platform for riders to showcase talents and skills, engage with development partners, and strengthen partnerships within the community.
The Minister of Local Government, Raphael Magyezi, pledged government support, emphasizing that the initiative would help organize tax collection from the industry, reduce crime rates, and improve riders’ livelihoods. He also reaffirmed the government’s commitment to supporting the establishment of the riders’ bank.
Riders like Mr. Amoako Sadick, Chairman of Boda Boda in Arua City, expressed optimism about the initiative, citing the challenges they face with high-interest rates from money lenders. “With this union, I am confident our challenges will be addressed, and security in our area will be strengthened,” he said. Ms. Kobusingye Maureen, a rider from Fort Portal, encouraged women to join the industry, stating that it has significantly improved her family’s well-being.
The Union urges all riders to download the Union App, register, and subscribe. Riders are also encouraged to participate in upcoming competitions and festivals by visiting www.bodabodafestival.com.
