Yango Group is evaluating entry into Kenya's ride-hailing market using a business-to-business model that would place local small and medium-sized fleet operators between its technology platform and individual drivers, according to statements made at the Tech Safari Summit 2026 in Nairobi. Rather than working directly with drivers as independent contractors, the company's proposed approach would partner with fleet businesses that manage groups of drivers while Yango provides the underlying ride-hailing infrastructure. Shashi Shekhar Singh, Director of Operations for Yango Ride (Africa & Asia), said the strategy aims to avoid what he described as "the traditional, discount-driven race to the bottom that has characterized the sector for years."
The company's international network currently includes more than 200 local fleet partners, with each partner typically managing teams of around 10 to 12 people, according to Singh's remarks. A 2026 TIFA Research industry survey cited in the article found that 60 percent of Nairobi ride-hailing users would consider switching to traditional matatus or other cheaper alternatives if ride-hailing fares rose significantly. Yango operates across more than 30 countries in Latin America, Europe and the Middle East. The company has also invested in BuuPass, a Kenyan digital platform focused on intercity transport, ticketing and travel technology, and its broader portfolio includes logistics, parcel delivery and B2B software.
Singh stated that the model addresses what he called "a critical bottleneck in the Kenyan transport sector: credit access." According to Singh, individual drivers with inconsistent digital transaction records struggle to secure standard bank financing, while established corporate fleet partners can negotiate asset-backed loans. The company has pointed to newer vehicles, driver training and security features as elements of the service it intends to offer, positioning itself on differentiation rather than competing primarily through price.
The proposed structure would introduce an additional layer into the relationship between platform and driver, with a ride's revenue needing to account for the technology platform, the fleet operator and the driver. Fleet operators would need to manage vehicle financing, maintenance, taxes, fuel and other operating costs while ensuring drivers remain adequately compensated. The narrow margin between attracting price-conscious customers and leaving sufficient room for fleet operators and drivers to cover costs presents a challenge, particularly in a market where the High Court's suspension of the 18 percent commission cap has altered the operating environment for platforms. Driver strikes and protests have periodically highlighted tensions over fares, commissions, fuel costs and working conditions across Kenya's ride-hailing sector.
The viability of Yango's approach will depend on whether sufficient demand exists among Kenyan customers for a ride-hailing service that prioritises consistency and other service attributes over the lowest available fare, as well as the financial position of the local SMEs involved. Using intermediary fleet businesses does not necessarily remove questions around driver earnings, working conditions and accountability, but instead changes how those relationships are structured, according to the article. Kenya's efforts to formalise the gig economy are likely to keep attention on the relationship between platforms, fleet companies and drivers as the regulatory environment continues to evolve. The company's broader portfolio of logistics, delivery and B2B software could provide additional revenue opportunities for local partners beyond individual passenger trips, potentially reducing their dependence on daily ride-hailing demand. For Yango, the proposed entry represents a different way of organising ride-hailing operations rather than a direct replication of existing platform models in Kenya. Whether fleet-based intermediation proves more sustainable than direct contractor relationships remains an open question, one that will test assumptions about risk distribution and capital access in markets where both drivers and small operators face financing constraints.