Thousands of e-hailing drivers in West Africa’s largest economy face severe financial strain following Uber Technologies Inc.’s abrupt departure from Nigeria after a 12-year presence.
The decision leaves vehicle financing arrangements in limbo and forces gig workers onto rival platforms.
The sudden market exit particularly affects operators using Moove—a key fleet management company and asset-finance partner heavily backed by Uber.
Drivers who acquired vehicles under strict agreements to work exclusively for Uber Go now face potential default risks without clear guidance on vehicle migration.
E-hailing union calls for urgent driver migration
In the wake of the announcement, the Amalgamated Union of App-Based Transport Workers of Nigeria (AUATWON) urged affected operators to transition immediately to remaining market leaders, primarily Bolt and inDrive.
According to union representatives, high inflation, soaring fuel costs, and rising maintenance expenses were already squeezing driver profit margins prior to Uber’s exit.
The union highlighted that many operators struggle to keep vehicles roadworthy under current economic realities, making seamless platform migration critical to preserving livelihoods.
While competitors like Bolt and inDrive maintain regular dialogue and interactive sessions with local driver unions, Uber’s operational model in the region was criticised for lacking direct driver engagement and country-level executive management prior to shutting down.
Global restructuring drives regional withdrawal
Uber’s departure from Nigeria—alongside a simultaneous exit from Uganda—is part of a broader global strategic shift. The tech giant is trimming management layers, reducing its workforce by approximately 10%, and redirecting capital toward high-growth initiatives like autonomous vehicles and robotaxis.
The pullout follows similar retrenchments across Africa:
Tanzania: Operations ceased after protracted regulatory battles over mandatory fare caps and commission limits.
Côte d’Ivoire: Exited in late 2025 following six years of operation.
South Africa: Scaled back by discontinuing its budget-focused UberX tier.
Despite these exits, industry analysts note that Nigeria’s broader ride-hailing and digital mobility ecosystem remains poised for significant growth, projected to expand from $450 million in 2025 to nearly $1 billion by 2032.
Sector regulations and airport disputes under scrutiny
Economic analysts view the exit as a sector-specific setback rather than a reflection of broader macroeconomic decline.
Disagreements over access, operational charges, and designated parking fees at major transit hubs—such as Murtala Muhammed International Airport in Lagos—created friction for app-based operators.
As government regulators, transport commissioners, and industry stakeholders review policy frameworks for gig-economy transit, unions continue pushing for fair commission structures and sustainable operating terms for drivers nationwide.
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