GRAB VENTURES INTO CAMBODIA
PHNOM PENH: Ride-hailing firm Grab yesterday has launched services in Cambodia, expanding its presence to an eighth country in Southeast Asia where it is the biggest rival of Uber Technologies Inc.
The Singapore-headquartered firm said it signed a memorandum of understanding with Cambodia’s Ministry of Public Works and Transport to support infrastructure development.
The official launch, here, marks the latest development in a quick-moving industry, coming just three months after Uber likewise began services in what the World Bank ranks as the sixthfastest expanding economy.
In October, Grab secured US$700 million (RM2.9 billion) in debt financing to expand its fleet and signed an exclusive partnership with Singapore public transport operator SMRT.
Also in Singapore, taxi firm ComfortDelGro Corp Ltd this month bought 51 per cent of Uber-owned car rental business Lion City Holdings.
Before the launch of ride-hailing services here, transportation included public buses and taxis as well as unmarked, unmetered taxis that hotels help arrange for tourists. Motorcycle taxis and auto-rickshaws are also popular.
Sun Chanthol, senior minister at the transport ministry, said Grab would help improve lives as well as public services.
“Our ministry also recognises that technology can improve, and can also deliver, public services in a transparent manner, faster, and can cut down on bureaucracy to serve our citizens better,” said Sun Chanthol.
So far, 500 local drivers had registered with Grab, he said.
Company co-founder Tan Hooi Ling said Grab drivers in Cambodia would be able to earn 32 per cent over the national average income.
She did not specify whether that was monthly or annually.
“We screened and vetted every driver,” Tan said.