Uber has officially ended its operations in Nigeria, bringing more than a decade of ride-hailing services in Africa’s most populous country to a close.
According to the BBC, the global company announced that it would also stop operating in Uganda, effective immediately. Uber described the decision as a “difficult decision” following a thorough review of its business.
The company entered Nigeria in 2014 and expanded into Uganda two years later. Its departure comes as Uber CEO Dara Khosrowshahi announced plans to reduce the company’s global workforce by 10 per cent.
Despite leaving Nigeria and Uganda, Uber said the decision does not represent a wider withdrawal from Africa.
“This decision is limited strictly to these two markets and does not impact our operations across the rest of the continent,” Uber said in a statement to BBC. “We remain committed to sub-Saharan Africa, where we continue to see strong growth and opportunity.”
Uber’s exit follows years of pressure within Nigeria’s ride-hailing industry. According to BBC reporting, drivers have raised concerns about low fares as fuel costs increased, as well as the commissions charged by platforms.
Drivers across the sector have also staged protests and industrial action over operating expenses, fares and working conditions.
The challenges came alongside wider economic changes. Nigeria removed its long-standing fuel subsidy after President Bola Tinubu’s election in 2023, contributing to higher living costs. Motorists faced further pressure from increased petrol prices this year following the U.S. war with Iran.
Uber also faced growing competition from Bolt, inDrive and several Nigerian ride-hailing companies.
During its 12-year presence, Uber expanded beyond car services. In 2019, it introduced a boat service in Lagos to offer commuters another option for dealing with the city’s heavy traffic.
Nigeria and Uganda are also not Uber’s first recent exits from Africa. The company has withdrawn from Ivory Coast and Tanzania over the past year.
Following the latest departures, Egypt, Ghana, Kenya and South Africa remain the only African countries where Uber operates.
The company said its help centre would remain available in Nigeria and Uganda until September 23 to assist employees, drivers and customers with outstanding issues.
Do you think Uber’s exit will create new opportunities for local ride-hailing companies in Nigeria?
