Police are investigating the attempted armed robbery of a taxi driver in Manunda overnight.

At 11.10pm, the 63-year-old male driver was sitting in his taxi in the rear carpark of an Alfred Street shopping centre when a red hatchback pulled up alongside the vehicle.

A man exited the hatchback and walked towards the taxi demanding money while holding what appeared to be a firearm.

The taxi driver managed to reverse away from the man who returned to his hatchback and which was last seen on Koch Street.

The man is described as being Aboriginal in appearance, 175cm tall with a skinny build, and was wearing a dark-coloured hooded jumper and dark pants.

Investigations are continuing.