WATCH THE VIDEO HERE Aligned with this progression, Mogo has emerged as the frontrunner among Roam’s associates, being the first to purchase electric motorcycles for every member of its payroll. According to a report, electric motorcycles are gaining traction in Sub-Saharan Africa’s sustainable mobility transformation. However, the report stated that continued investment in startups to address barriers across the value chain will be critical to realising their full potential. Consequently, this new partnership is critical to the expansion of mobility in Africa, particularly in Kenya. The motorcycle market in Africa is expected to grow to $5 billion by 2027. But as of 2022, the motorcycle industry accounted for approximately 3.4% of Kenya’s GDP, with KSh 60 billion in fuel taxes collected each year. Mikael Gånge, Roam’s CCO and Co-founder, stated that this development will enable the company to tap into the expanding market of bodaboda riders, an existing transport system in Kenya, who are interested in switching to electric motorcycles due to an increase in petrol prices. He elaborated that leveraging Mogo’s expertise in asset financing will enable the company to offer flexible financing options that ensure customers save money. Furthermore, Rauls Leitis, Business Development Projects Manager at Mogo, stated that Roam’s product allows customers to charge not only at home but at Roam hubs, implying that “the electric motorcycle market will eventually become larger than the petrol market.” To address the challenges of transitioning to electric motorcycles, the Kenyan government eliminated five different taxes in the electric motorcycle manufacturing sector, including the 16% VAT on electric motorcycles. It also promised to support the acquisition of electric motorcycles in the country to a high of 200,000 pieces by the end of 2024, with spare parts, batteries, and components needed for their manufacture being tax-exempt.
Roam partners Mogo to ease the transition to electric motorcycles in Kenya
