Uber exits Nigeria after 12 years, ending its ride-hailing operations

Uber Nigeria exit ends a 12-year run and gives rivals a bigger opening in one of Africa’s largest ride-hailing markets.

Timilehin Adejumobi
Timilehin Adejumobi
Uber

Uber Technologies, Inc., a global ride-hailing company, is ending its ride-hailing business in Nigeria after 12 years, closing one of the most recognizable chapters in the country’s app-based transportation industry.

The San Francisco-based company said it would wind down its Nigerian operations effective Sept. 2, 2026, following a review of its business. Uber’s Help Centre will remain available until Sept. 23 for customers with outstanding account-related questions.

Uber apologized for the disruption to customers who relied on its platform for daily commutes, family visits and trips across Nigerian cities.

The exit also comes as Uber faces a broader corporate restructuring, including plans to cut about 3,300 jobs globally as it seeks to simplify its operations and invest in areas including autonomous vehicles.

From market pioneer to fierce competition

Uber launched in Lagos in 2014 and became one of the early major players in Nigeria’s app-based transportation industry. Its platform allowed customers to request and pay for rides digitally while creating income opportunities for independent drivers.

By 2017, Uber said it had about 267,000 active riders and 7,000 driver-partners in Nigeria, underscoring the scale it had reached only a few years after launch. 

But competition intensified. Bolt and inDrive expanded their presence, giving Nigerian riders more choices, particularly in a market where price has become increasingly important. Uber’s business also faced pressure from regulatory disputes, driver protests and rising operating costs.

Rising costs squeeze ride-hailing

In 2016, Lagos authorities threatened action against unregistered Uber vehicles and raised questions over taxes and licensing fees. The company also faced negotiations with airport authorities over ride-hailing access and pickup arrangements.

For drivers, rising fuel prices, vehicle maintenance costs, inflation and currency volatility increasingly squeezed earnings. Driver protests over fares, commissions and working conditions occurred in 2017, 2023 and 2025.

Those pressures exposed the difficult economics of ride-hailing in Nigeria: riders want lower fares while drivers need higher earnings to cover fuel and vehicle costs.

What Uber’s exit means for Nigeria

Uber’s departure leaves a major opening for rivals in Nigeria’s ride-hailing market and could accelerate competition for riders and drivers.

The company’s exit does not mark a withdrawal from Africa. Uber said its decision is limited to Nigeria and Uganda and does not affect its operations in other African markets.

For Nigeria, however, the departure of a company that helped popularize app-based transportation marks a significant shift in the country’s digital mobility industry.

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