Uber stopped operating in Nigeria and Uganda on 2 September 2026, ending about 12 years in the country. The exit came on the same day the company announced a global restructuring that cut around 10% of its workforce worldwide.
For many Lagos and Abuja commuters, the news arrived with little warning: drivers were told by message that the service was ending and that a final payment would follow.
What drivers received
According to drivers who spoke to Techpoint Africa, Uber credited a one-off ₦40,000 payment, labelled “Promotion – Goodwill Gesture”, on 4 September, with a payout date of 7 September.
- Only drivers who had been active on the platform in recent months qualified.
- Money that drivers owed the platform was deducted, so some received less than ₦40,000.
- Drivers who had not been active recently did not receive the payment.
Why Uber left
Uber did not give a detailed public explanation for leaving Nigeria, but two factors stand out.
Trips that cost more than they earned
An analysis by trip-data company Obi, reported by Semafor, found that for many trips under about 12 miles (roughly 19 km), Uber paid Nigerian drivers more than passengers were charged, sometimes by as much as 23%. The analysis covered more than 20,000 rides by over 300 drivers in the first seven months of 2026.
Put simply, Uber was subsidising short trips to keep drivers on the app, even after raising prices sharply.
A tough market
Drivers interviewed after the exit pointed to fewer ride requests since the removal of the fuel subsidy, weaker spending power, and multiple taxes and levies. The Obi analysis also found that Nigerian drivers completed far fewer rides than drivers in South Africa, and that Bolt held around 60% of the Nigerian ride-hailing market by the time Uber left.
What riders can use now
- Bolt, already the market leader
- inDrive, where riders suggest a fare
- Local and regional services, which vary by city
Whichever app you use, check the car’s plate number and the driver’s photo before you get in, share your trip with a friend, and avoid paying outside the app.
The bigger picture
Uber’s departure is a reminder that growth alone does not make a business work in Nigeria. High fuel costs, currency pressure and low average fares make ride-hailing hard to run profitably, and companies that cannot cover their costs per trip eventually have to change their model or leave. The question now is whether Bolt and inDrive can serve the extra demand without large price rises, and how drivers who relied on Uber will adapt.
Sources: Techpoint Africa, Semafor, The Washington Post.
