The Cabinet’s approval will effectively make the two ride-hailing services part of the public transport system in the towns and cities where they are already operating.

The Malaysian government has accepted the proposal of the Land Public Transport Commission (SPAD) to legalise and regulate Uber and Grab.

The Cabinet’s approval will effectively make the two ride-hailing services part of the public transport system in the towns and cities where they are already operating.

The approval for Grab and Uber is one of the 11 initiatives in SPAD’s presentation to the Cabinet to improve and streamline the country’s public transport system, including the public taxi services.

According to SPAD, when the new laws come into place by end of the year there would be about 150,000 new individual taxi, Uber and Grab drivers providing services to the public over the next three years.

The amendments to the existing laws regarding the public transport system are expected to be made at the next sitting of Parliament in November.

Meanwhile Grab welcomes the Cabinet’s approval of SPAD’s recommendations, saying it highlighted the government’s support of “innovative solutions to resolve transportation issues in the country”.

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