A fair and equitable solution will be found soon for the taxi issue in the interests of consumers and the service providers, said Prime Minister Najib Razak.

He said the interests of the two parties remained a major consideration of the government in working out a settlement.

"I understand and am concerned about the problems and grievances faced by taxi drivers due to the Uber and GrabCar ride-hailing apps which have eaten into their income.

"I read reports of the protests by taxi drivers in Bukit Bintang recently," he said in the latest post on his blog, NajibRazak.com .

Najib said the problems faced by taxi drivers occurred not only in Malaysia but also in many other countries.

"In this era of sophistication and innovation, we have to be ready to accept and keep pace with technological developments," he said.

Competition must also be seen as a stepping stone and not a hindrance so that the people can enjoy the best service, he said.

As announced by the Land Public Transport Commission (Spad), he said, the government was studying proposals to address two key issues - first, the income and welfare of taxi drivers and second, the issue of hire cars such as Uber and GrabCar which use smartphone apps.

Last Tuesday, about 300 taxi drivers gathered in the vicinity of Bukit Bintang in Kuala Lumpur and parked their taxis on the road, blocking traffic, as a protest against the Uber and GrabCar services.

Transport Minister Liow Tiong Lai, when approached by reporters on that day, said Spad had been asked to expedite the registration of drivers providing the Uber and GrabCar services.

- Bernama