Uber Pulls Out Of Nigeria, Its Last Major African Frontier, Having Fallen Behind

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Uber Pulls Out Of Nigeria, Its Last Major African Frontier, Having Fallen Behind

By
Staff Reporter
 |  September 2, 2026

Uber officially shut down its ride-hailing operations in Nigeria today, September 2, ending a 12-year presence in Africa’s most populous nation. The company also exited Uganda on the same day, part of a global restructuring that will cut roughly 3,300 jobs, or about 10 percent of its workforce. In a statement, Uber said the decision followed “a thorough review of our business” and thanked Nigerians for trusting the platform since it launched in Lagos in 2014.

It is the latest in a pattern of retreat from African markets where the economics of ride-hailing have become increasingly untenable. In January, Uber shut down in Tanzania after nearly a decade, citing a regulatory environment that made profitability difficult. Last year, it closed operations in Côte d’Ivoire. The withdrawals come as Uber pivots aggressively toward autonomous vehicles, planning to invest more than USD 10 B in robotaxis and aiming to offer driverless rides in 15 cities by the end of 2026.

For Nigeria, the departure is a significant blow to a digital economy that had developed with the platform in an often fraught landscape. Uber estimated in 2023 that it generated an additional NGN 6.1 B (USD 9.6 M) in annual income for Nigerian drivers compared to traditional alternatives.

Yet drivers have long complained that the math does not work in their favour. They face rising fuel costs, vehicle maintenance expenses, and commissions as high as 25 to 30 percent. In March, hundreds of drivers in Lagos went on a three-day strike over low fares and high commissions, logging off platforms including Uber, Bolt, and inDrive. “Drivers operating on platforms such as Uber, Bolt, inDrive, and Lagride face rising operational costs, including high fuel prices and vehicle maintenance,” one union leader said at the time.

The tensions have fuelled a conversation about local alternatives. After the March strike, drivers began discussing the creation of homegrown apps to regain control over pricing and commissions. Those conversations now take on new urgency. Bolt, which has overtaken Uber as Nigeria’s most downloaded mobility app, remains the dominant player. InDrive and local platform Lagride also continue to operate. But Uber’s exit leaves a gap that’s now up for grabs.

Regulatory friction has also mounted. In August, the Federal Airports Authority of Nigeria suspended Uber and Bolt from operating at airports, causing fares to surge and passengers to face long delays. The ban was later partially resolved, but it underscored the uneasy relationship between global platforms and local authorities.

Uber says it remains committed to Sub-Saharan Africa and that the withdrawals from Nigeria and Uganda will not affect its operations elsewhere on the continent. But the company is also reducing fully remote roles to about 1 percent of its workforce and flattening its corporate structure. CEO Dara Khosrowshahi has said the rapid expansion over the past five years created organisational complexity that slowed decision-making. The restructuring is meant to redirect resources toward areas with greater growth potential, including autonomous mobility.