Why Uber Left Nigeria After 12 Years While Retaining Four African Markets

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Uber has ended its ride-hailing operations in Nigeria and Uganda after 12 years, while keeping services in Egypt, Ghana, Kenya and South Africa. The company said it is focusing investment on markets where it can create earning opportunities for drivers at scale. Uber did not state that Nigeria was unprofitable. However, high fuel costs, inflation, currency volatility, fare-sensitive passengers and intense competition have made the market harder for drivers and ride-hailing platforms. Drivers have also pushed for better earnings as operating costs rise. With Bolt, inDrive, Rida and LagRide competing for riders and drivers, Uber’s exit is unlikely to end ride-hailing in Nigeria. Instead, competitors may gain its customers and drivers. The decision highlights that a large market alone does not guarantee sustainable returns for a platform. The exits also come as Uber restructures globally, cuts corporate jobs and directs more resources towards autonomous mobility and robotaxi services.

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