Taxi licensing has accelerated the transition of drivers to official fleets

The tightening of taxi regulations in Kyrgyzstan is reshaping the market. Unlicensed drivers risk fines of up to 23,000 KGS, ride-hailing platforms are restricting their access to bookings, whilst official taxi companies are seeing an increase in the number of registered drivers.

From 1 July, driving a taxi without the appropriate licence became grounds for a fine ranging from 7,500 to 23,000 KGS. From 14 September, the requirements were further tightened, specifically with the introduction of mandatory quarterly safety briefings, restrictions on right-hand-drive vehicles, stricter monitoring of ride-hailing platforms, and a requirement for foreign drivers to demonstrate proficiency in the Kyrgyz language.

Prior to the introduction of the new rules, the market remained only partially legalised. According to the State Traffic Police, by mid-June, around 16,000–17,000 licences for passenger transport had been issued, including approximately 400–440 to legal entities. At the same time, the number of active taxi drivers had previously been estimated at around 35,000, whilst the total number of people engaged in private hire transport ranged from 30,000 to 70,000.

After 1 July, ride-hailing platforms began blocking drivers who had not obtained the necessary documentation. This has accelerated the shift towards official taxi companies, which take on some of the administrative procedures and assist drivers with legalisation.

The scale of the changes can be gauged from data provided by individual market participants. At Taxi Express, an official partner of Yandex Go in Kyrgyzstan and a portfolio company of the Central Asia Capital fund ‘Akchabaru’, it was reported that the number of registered drivers in the first eight months of 2026 had quadrupled – from 300 to 1,200.

From January to September, the fleet’s drivers completed 171,545 journeys.

Payments are also on the rise. In the first half of the year, Taxi Express drivers earned 34.53 million KGS. In the first quarter, payments totalled 15.63 million KGS, and in the second quarter, 18.89 million KGS (a 21 per cent increase).

That said, data from a single taxi fleet does not allow for an assessment of the entire market. However, the fourfold increase in the number of registered drivers shows how new requirements are changing the business model. Instead of operating independently, more and more taxi drivers are opting for official fleets, through which it is easier to comply with licensing and administrative requirements.

Meanwhile, competition among ride-hailing platforms remains fierce. Major international platforms operating in the market include Yandex Go, Wildberries and inDrive.

The new regulations are effectively pushing the market towards greater formalisation. For the state, this means more transparent tracking of transport operators and tighter control; for ride-hailing platforms, it means having to work only with drivers who meet the established requirements.