Uber Shuts Down in Nigeria and Uganda Amid Global Restructuring

News World

Published by Stephen Oluwadara at September 2, 2026

Uber Winds Down After Pioneering Ride-Hailing in Nigeria

Uber entered Nigeria in 2014 and was one of the first global ride-hailing companies to help build the country’s modern ride-hailing sector. Its arrival gave Nigerians a new way to book and pay for rides while providing drivers with another source of income.

“After a thorough review of our business, we have made the tough decision to wind down our operations in Nigeria, effective 2 September 2026,” the email read.

The company is also pulling out of Uganda, which it entered two years after Nigeria, citing comparable reasons. Uber’s sudden withdrawal is part of broader company-wide changes intended to boost efficiency and cut costs.

The company plans to reduce headcount by roughly 10%, affecting about 3,300 employees. It is also removing certain positions, particularly those tied to coordination.

“We have tremendous momentum, significant financial capacity, and opportunities in front of us that are larger than at any point since I joined the company. The decisions we’re making today are difficult, but they will help us build an even stronger Uber for the years ahead,” a message from CEO Dara Khosrowshahi read.

Uber’s Changing Position in Nigeria

For many years, Uber led Nigeria’s ride-hailing market. Its stricter driver vetting and vehicle standards helped it earn a reputation for reliability and safety with riders. That position has slipped in recent years as competition grew. Bolt and inDrive gained traction by offering options that appealed to cost-conscious users. Bolt pushed lower fares, while inDrive let riders and drivers agree on prices directly.

During its time in Nigeria, Uber offered both ride-hailing and delivery services. While the company has rarely shared country-specific operating figures, it reported in 2017 that it had close to 300,000 riders and about 7,000 drivers in Nigeria.

Why The Exit is Happening

The company stated it is refocusing its African investment on markets where it can provide earning opportunities at scale, leaving only Egypt, Ghana, Kenya, and South Africa as active markets on the continent.

This decision reflects several factors coming together. Globally, Uber is reducing headcount by approximately 3,300 jobs, or 10% of its workforce, as part of an effort to flatten its corporate structure, cut management layers, and reinvest the savings into product innovation.

At the same time, operating conditions in Nigeria have worsened. The business has been pressured by rising inflation, sharp currency volatility, and higher fuel costs following the removal of the country’s petrol subsidy and the resulting price increases.

Competition has also intensified. In both Nigeria and Uganda, rivals such as Bolt and inDrive have grown rapidly, while drivers have staged protests over fares and commission rates. The pullback fits a wider pattern of consolidation across Africa.

Uber previously withdrew from Côte d’Ivoire in 2025 and from Tanzania in early 2026, and the latest exits further narrow its footprint to the four markets where it believes it can operate most effectively.

The exits come as Uber announced its largest workforce reduction since the COVID-19 pandemic. The company plans to cut about 3,300 roles, roughly 10% of its global workforce of around 34,000 employees at the end of 2025.

The restructuring aims to flatten Uber‘s corporate structure, reduce management layers, and shift resources to areas with stronger growth potential. Those priority areas include ride-sharing, delivery, and robotaxis.

Its exit represents a major shift for Nigeria’s ride-hailing industry. The firm that helped scale app-based ride-hailing is now leaving a much more competitive market.

Main Image: Uber App. Source: Pexels