Taxi finance deal rejected

AN offer by South African Taxi Finance to reduce the interest on financing of Toyota Quantum minibus taxis by 3% has been rejected by the majority of taxi owners aligned to the South African National Taxi Association‚ who say this is not enough.

Santaco president Phillip Taaibosch and the association’s senior leadership said they would renegotiate with SA Taxi Finance to try to resolve the issue‚ failing which they would embark on a national strike on July 12.

In the meantime, the #TaxiStrike which caused widespread disruption across Johannesburg yesterday when the drivers blockaded the roads, had been called off.

Speaking at Emperors Palace‚ east of Johannesburg yesterday, Taaibosch appealed to provincial structures of the association to go back to the drawing board and come up with proposals on how to address the price issue.

A Quantum minibus now costs at least R450 000 compared to R220 000 in 2010.

Earlier, Taxi Choice deputy director Thulani Qwabe read out the response from SA Taxi Finance‚ which committed to reducing the interest rate on the purchase of Toyota Quantums from 28.5% to 25.5%.

It is also offering a residual plan, which would reduce the instalments by about R1 800, as an alternative option.

The proposals were immediately rejected by the taxi owners and drivers‚ who said the interest rate was still too high.