Uber is ending its ride-hailing operations in Nigeria and Uganda as the company retreats from two major African markets.
The technology company said the decision followed a review of its business operations.
Uber entered Nigeria in 2014 and expanded into Uganda two years later. Its departure ends more than a decade of operations in Nigeria.
Uber exits Nigeria amid rising costs
Nigeria has become an increasingly difficult market for ride-hailing companies.
Drivers have faced higher fuel and operating costs in recent years. At the same time, disputes over fares and commissions have led to protests by drivers.
Competition has also increased, with companies including Bolt, inDrive and local platforms fighting for passengers.
Pressure on drivers increased after Nigeria removed its petrol subsidy in 2023. The move contributed to higher fuel and transportation costs.
Uber had previously tried to expand beyond traditional car rides in the country. In 2019, it launched a boat service in Lagos to help passengers avoid the city’s heavy traffic.
Competition grows in Uganda
Uber is also leaving Uganda, where it began operating in 2016.
Its departure could create more opportunities for competing platforms such as Bolt, SafeBoda and Faras.
The exit comes as African ride-hailing markets become increasingly competitive. Companies must balance affordable fares for passengers with rising costs for drivers.
Uber’s African presence gets smaller
Nigeria and Uganda are not the only African markets Uber has recently left.
The company has also withdrawn from Ivory Coast and Tanzania over the past year.
Following the latest exits, Uber will operate in only four African countries: Egypt, Ghana, Kenya and South Africa.
However, Uber says the decision does not mean it is abandoning the continent.
The company said it continues to see opportunities in sub-Saharan Africa.
Uber also said it would support affected drivers and employees. Its help centre will remain available in Nigeria and Uganda until September 23.