Uber leaves Nigeria after 12 years, citing low ride values and scale challenges

Uber announced it is ending operations in Nigeria after 12 years, saying the local market could not generate the economies of scale needed to support its future ambitions. The company’s global average gross booking per trip in 2025 was $14.26, but Nigerian rides fetched only about $5.11–$6.97 before commissions—less than half the global figure—meaning roughly two Nigerian trips are required to match the value of one average global trip. Driver interviews showed earnings of ₦7,300–₦10,000 per trip, while competitors like Bolt and inDrive paid ₦12,500–₦13,000 per hour, making Uber less attractive for drivers. Macro pressures—falling incomes after the petrol subsidy removal and high fuel costs—further squeezed the market. Estimates suggest Uber’s annual transaction value in Nigeria was around $146 million, just 0.075 % of its $193.45 billion global gross bookings in 2025. Uber is instead redirecting capital toward autonomous‑vehicle partnerships and markets where it believes it can achieve greater scale, having already exited Côte d’Ivoire, Tanzania and now Uganda. For Nigerian riders and drivers, the exit reduces platform choice and may push earnings toward competitors that currently offer higher returns.

SOURCE: https://techcabal.com/2026/09/05/uber-14-ride-problem-nigeria/