Abstract
ABSTRACT
 This study reports upon the findings on the cost and profitability of bodaboda transport business among youths in Arusha. As used in this study, the term bodaboda applies for a two wheeled motorized taxi which provides ‘for hire’ type transport services to passengers and goods. The bodaboda have became an employment opportunity to many unskilled urban labour and further job opportunity to informal sector workers who wish to switch jobs in search of higher rewards. The questionnaires were used to collect data to 90 respondents from two districts of Arusha region namely Arusha and Meru district. Data analysis was done using descriptive statistics and cost benefit analysis. The finding from the study indicates that the bodaboda transport business is profitable with the benefit cost ratio (BCR) of 2.8 and the net present value (NPV) of 8,494,920Tsh for five years project duration.
 By having the benefit cost ratio and the net present value greater than 1, the bodaboda business is profitable and worth being undertaken. Based on the findings from the study it is recommended that the government authorities and all key stakeholders should regulate, and support the implementation of bodaboda bussiness through formalization of bodaboda associations, assurance of financial supports and capacity building to youths who engage or willing to engage in the business.
Highlights
There has been an increasing and significant growth in the use of motorcycles as a commercial public transport mode in Sub-Saharan Africa, Latin America and Asia, (Kumar, 2011)
According to Kumar (2011) In Nigeria, the use of motorcycle in transport business is known as Okada which is coined from the famous airline named Okada while in Ghana it is known as bendskin and in most parts of East Africa it is known as bodaboda
Respondents sex The findings presented in Table 3.1 shows that 97.8% are male and 2.2% of the youths engaging in the business are females
Summary
There has been an increasing and significant growth in the use of motorcycles as a commercial public transport mode in Sub-Saharan Africa, Latin America and Asia, (Kumar, 2011). In East Africa, Bodaboda transport service is a Ugandan innovation that has grown from small beginnings in the late 1960s at Busia in the Kenya-Uganda border (Malmberg, 1994).Various names are given to this business depending on the areas of operations and the history and culture of the users. According to Kumar (2011) In Nigeria, the use of motorcycle in transport business is known as Okada which is coined from the famous airline named Okada while in Ghana it is known as bendskin and in most parts of East Africa it is known as bodaboda. Transport sector is an important component of the economy impacting on development and the welfare of populations, (Mbugua 2011)
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