Uber has resumed its services in Tanzania after settling a fare dispute with the government.

The ride-hailing giant suspended services in the East African country last April after the government introduced legislation capping maximum commission from drivers at 15% (from the previous 33%).

Uber said the new regulations made it difficult to continue operating while the government defended the new laws as essential to maintaining competition and ensuring affordable taxis. 

After months of negotiations, Tanzania’s transport regulator last month allowed ride-hailing companies to charge up to 25% commission and a 3.5% booking fee. 

Uber said in a statement: “It is our priority to provide a platform where drivers can make substantial earnings while providing convenient and reliable options for riders In Tanzania.”

The San Francisco-based company, founded in 2009, launched in Tanzania in 2016, capitalising on the country’s low levels of personal car ownership and lack of efficient mass transport.