Uber Announces Immediate Cessation of Operations in Nigeria and Uganda
The global ride-hailing giant has announced its decision to end operations in the two African countries following a comprehensive review.
Global ride-hailing and transportation giant Uber has announced that it is shutting down its operations in Nigeria, Africa's most populous nation, and Uganda, an East African country, effective immediately following a comprehensive business review.
Termination of Operations
Uber publicly announced its decision to immediately halt its operations in Nigeria and Uganda following detailed reviews and evaluations. The company described this step as a difficult decision.
Having started providing services in Nigeria in 2014, the company began operating in the Ugandan market two years later.
Challenges Faced by Drivers and Market Conditions
Taxi drivers in Nigeria had previously complained about low app fares, high commission rates in the face of rising fuel costs, and pressure from rival platforms such as Bolt and inDrive.
This shutdown decision coincided with a period when Uber CEO Dara Khosrowshahi announced that the company would reduce its global workforce by 10 percent.
Market Conditions Elsewhere in Africa
In the statement made by the company, it was emphasized that this decision covers only Nigeria and Uganda and will not affect operations in Egypt, Ghana, Kenya, and South Africa.
Uber had also announced its withdrawal from Ivory Coast and Tanzania over the past year.
Support for Employees and Drivers
The company committed to supporting employees and drivers affected by the decision, stating that the support center will remain open until September 23 for unresolved issues.