Uber, the US-based ride-hailing company that operates in eight African countries, is winding down its operations in Nigeria, marking its exit after twelve years. “We are writing to share some difficult news,” Uber said in an email to customers on Wednesday.
“After a thorough review of our business, we have made the tough decision to wind down our operations in Nigeria, effective 2 September 2026.” Uber’s exit ends a 12-year run in Nigeria, one of its earliest markets, where it launched in 2014. The company helped build the country’s ride-hailing market, but is leaving as intensifying competition, rising operating costs, and growing regulatory pressure have made the market harder to navigate.
In an email to drivers on the app, Uber said, “We know this is heavy news, and we want to express our deepest gratitude to you for being a part of our journey in Nigeria.”Uber said it will provide a one-off “goodwill payment” to the drivers “to help ease this change.” Image: TechCabal Image: TechCabal The departure leaves the market more concentrated around its biggest rivals, Bolt and inDrive, while creating the opportunity for a handful of local operators like Lagride and Rida.
However, the economics of ride-hailing remain difficult, with high fuel and vehicle maintenance costs, pressure to keep fares affordable, and the need to continually attract and retain drivers. Uber’s exit from Nigeria follows an extended period of clashes with drivers over fares and commissions, during which drivers staged a protest in March 2026.
The move comes as Uber laid off over 3,000 employees, around 10% of its global workforce, citing a restructuring affecting staff across its ride-sharing, delivery, and robotaxi divisions, according to a memo from CEO Dara Khosrowshahi, seen by TechCabal. “This wasn’t a decision we made lightly because it will have a real impact