Uber supports economic growth in Bangladesh
Business Desk :
Uber, Bangladesh’s leading ridesharing app, supports economic growth in Bangladesh contributing with Taka 55 billion of economic activity in the country in 2024.
The Uber released its 2024 Economic Impact Report at an event on Tuesday in the presence of Md. Ehsanul Hoque, senior secretary of Road Transport and Highways Division and Mohammed Yasin, chairman of Bangladesh Road Transport Authority (BRTA).
Compiled by Public First, the report highlights Uber’s role in supporting economic growth in Bangladesh, says a press release.
In 2024, Uber’s Moto and Auto services supported Taka 9.2 billion of economic activity in Bangladesh. These services have become essential for meeting the growing demand for affordable and convenient last mile connectivity, it said.
The platform also played a key role in time savings for its riders, with 82percent of riders using Uber for commuting to and from work, saving an estimated 1.1 million hours annually, valued at Taka 940 million.
The report highlights the factors driving the economic contribution of Uber in Bangladesh
Key findings: Supporting a wider economic footprint.
Earning opportunities: In total, the report estimates that driver-partners earn an additional 42 percent a year in higher income through Uber in 2024, relative to their next best alternative type of work. About 50 percent of the drivers agree that they would have availed fewer job opportunities without such a platform.
Local exploration: In 2023, it estimates that Uber generated Taka 2.9 billionin additional value for Bangladesh’s tourism industry, which now supports 2.14 million jobs in 2024.
Consumer surplus: In 2024, it estimates that rides with Uber generated Taka669 billion in consumer surplus for riders in Bangladesh expanding opportunity.
Increased opportunity: Around 76 percent of drivers say that Uber is the first app they have received earnings through.
Transforming travel, Ease of travel: Around 81 percent of riders agree that booking with Uber is much easier than hailing a ride in the street.
Addressing the event as special guest Mohammad Yasin said, “The government of Bangladesh is committed to enhancing the country’s infrastructure and economic development. In this context, Uber’s role in improving connectivity, supporting livelihoods, and promoting tourism has been notable.”
He said the ridesharing industry including Uber has made commendable efforts in leveraging technology to address transportation challenges, which contribute positively to the nation’s growth and development.
Commenting on the report, Nasheed Ferdous Kamal, country head of Uber Bangladesh, said, “Our 2024 Economic Impact highlights Uber’s significant contribution in transforming transportation and creating work opportunities in the country.”
The event featured a detailed report presentation by Amy Price, Director & head of Practice, Tech, Media and Telecom, Public First. The report launch was followed by a panel discussion with key stakeholders, including policymakers and industry experts.
The panelists included Sitangshu Shekhar Biswas, director of BRTA, Fahmida Khatun, executive director of CPD, Shams Zaman, country managing partner of PwC Bangladesh and Nasheed Ferdous Kamal.