The Government of Malaysia has launched a RM10 million (USD2.1 million) National Madani Taxi Rejuvenation programme to modernise the country’s taxi industry through fleet renewal, digitalisation and driver support. Announced by Prime Minister Anwar Ibrahim, the initiative introduces the Proton S70 as the country’s new official taxi model and aims to improve service quality while increasing drivers’ earnings. Selected financial institutions will provide low-interest financing to help taxi drivers purchase new vehicles and own individual taxi permits.

The programme also includes digital skills training to help drivers adopt app-based booking and cashless payment technologies. Government agencies will conduct on-site training at taxi stands to minimise disruptions to drivers’ daily income. In addition, the government has reinforced a policy that taxi permits remain registered under individual drivers, preventing ownership concentration among wealthy investors and safeguarding drivers’ long-term livelihoods.

The initiative forms part of Malaysia’s broader effort to revitalise the taxi sector through lower vehicle ownership, maintenance and financing costs. The government estimates the programme could increase drivers’ monthly earnings from around RM4,000 to between RM5,000 and RM7,000 while creating a more modern, efficient and technology-enabled taxi service for passengers.