By Tyndale Muchiya
The Competition and Consumer Protection Commission (CCPC) has imposed a significant fine on Yango Zam Limited, the operator of the ride-hailing service Yango, for engaging in unfair trading conditions and anti-competitive practices in Zambia.
Speaking during the CCPC’s 2025 annual performance briefing, attended by the Zambian Business Times – ZBT, CCPC Executive Director Eunice Phiri Hamavhwa announced the decision, stating that the commission remains committed to fostering a fair and competitive market environment in Zambia.
She noted that in 2025, the CCPC investigated 38 cases of restrictive business practices (RBPs), a 7% decrease from 2024. This drop was attributed to increased compliance, advocacy, and education efforts by the commission.
The standout case involved Yango Zam Limited whose investigations began after complaints surfaced that Yango was engaging in below-cost pricing to gain market share in the ride-hailing sector. “This strategy allegedly forced competitors out of the market by making it unsustainable for them to match Yango’s prices. There were also allegations regarding tax compliance, with claims that Yango’s operations were not fully tax-compliant, allowing it to offer lower prices than competitors.”
She said further concerns were raised over the treatment of drivers on the platform, including claims that drivers could not cancel trips before pickup, were denied key trip details before accepting rides, and that driver incentives were revoked without clear explanation. “Regulatory issues also surfaced, with allegations that Yango drivers lacked proper taxi service licenses, disadvantaging traditional operators. There were also complaints that passenger-initiated fare reductions did not adequately cover vehicle operating costs.”
“Following thorough investigations, the CCPC Board of Commissioners found Yango Zam Limited in contravention of Sections 8, 10, and 16(2)(a) of the Competition and Consumer Protection Act. The Board directed that Yango Zam Limited: (Be fined according to the law, Establish a physical engagement platform for drivers to raise grievances and suggestions and Update its digital platform to display trip destination and pricing information before drivers accept rides.”
Meanwhile, responding to a Zambian Business Times – ZBT, question regarding the total fine imposed on Yango Zambia, CCPC Director of Restrictive Business Practices Patrick Chengo explained during the briefing that the fine totals 12% of Yango Zambia’s annual turnover for the year under investigation, based on the latest audited financials.
He clarified that the cumulative fine for the three cited violations amounts to 12% of the annual turnover of the enterprise for the year under investigation. “This percentage is applied only to the financial year corresponding to the period under scrutiny, based on the latest audited financial statements available during the investigation.” He added.
Chengo emphasized that the Commission does not retroactively apply the fine to years prior to the investigation. Instead, the focus remains on the year in which the conduct occurred and was investigated. He noted that competition investigations, particularly those involving restrictive business practices or abuse of market power, are inherently complex and may span 18 to 24 months due to the breadth of information required and the evolving nature of business conduct. Despite the investigation potentially spanning 3 years, Chengo noted that the fine is calculated from a single audited year within the investigation period.
He further clarified that even if a company amends its practices or addresses issues during an ongoing investigation, the fine remains applicable for violations committed during the relevant period.
Chengo further urged businesses to proactively seek guidance from the Commission if they are uncertain about the boundaries of compliance with the Competition and Consumer Protection Act.
The Commission maintains an open-door policy and May, in certain circumstances, grant exemptions or approve specific contractual clauses if they enhance market efficiency or benefit consumers.
Chengo reiterated that the CCPC aims to promote fair competition, not to protect individual business entities, and encouraged all businesses to familiarize themselves with the legal requirements governing their sectors.
He reminded stakeholders that ignorance of the law is not a valid defence and encouraged them to reach out for guidance to ensure compliance and avoid inadvertent violations.
