Uber has ceased operations in Nigeria and Uganda, the company announced, marking a significant contraction of its presence in sub-Saharan Africa. The move comes after years of navigating a complex operational landscape in Africa's most populous country and its East African neighbor.
In Nigeria, Uber's withdrawal follows a 12-year period of service that saw expansion efforts, including a boat service launched in Lagos in 2019 to combat the city's severe traffic congestion. However, the ride-hailing market in Nigeria has become increasingly competitive and challenging, with local and international rivals like Bolt and inDrive vying for market share. Drivers in the region have previously organized protests and strikes, citing rising operating costs, low fares, and difficult working conditions. The Nigerian economy has faced increased pressure following the removal of the country's fuel subsidy after President Bola Tinubu's election in 2023, leading to a general rise in the cost of living and fuel prices.
Uber stated that its decision is strictly limited to Nigeria and Uganda and does not affect its operations elsewhere on the continent. The company indicated it remains committed to sub-Saharan Africa, highlighting continued strong growth and opportunities in the region. The remaining African countries where Uber currently operates are Egypt, Ghana, Kenya, and South Africa. This latest pullback follows previous exits from Ivory Coast and Tanzania over the past year.
In Uganda, the departure is expected to create a significant shift for commuters in the capital, Kampala. Local media anticipate that other ride-hailing services such as Faras, Bolt, and SafeBoda are likely to fill the void left by Uber.
Uber has pledged to support affected employees and drivers through the transition. Its help center in both Nigeria and Uganda will remain accessible until September 23 to address any outstanding issues.