ABUJA — Ride-hailing rivals Bolt and inDrive are moving to strengthen their presence in Nigeria following Uber’s abrupt exit from the country after about 12 years of operations.
Uber announced its departure from the Nigerian market on September 2, citing “evolving business priorities and investment focus across the continent”.
The exit has opened a fresh opportunity for competing platforms to expand their customer and driver bases in one of Africa’s largest ride-hailing markets.
While Uber is withdrawing from a country with a population of more than 200 million, its major competitors have signalled that they intend to deepen their investments and operations.
inDrive described Nigeria as a key African market, saying its active user base in the country has continued to grow year-on-year.
The company said it had made significant investments in Nigeria and remained committed to further investment in service quality, safety, technology and local communities.
It added that its operations in the country now extend beyond ride-hailing, with services including its Economy and Courier offerings.
Bolt also reaffirmed its commitment to Nigeria, describing the country as an important market for its operations.
The company said it would continue providing mobility solutions for passengers, creating earning opportunities for drivers and supporting the development of Nigeria’s mobility ecosystem.
According to Bolt, it currently operates in several Nigerian cities and is focused on improving services for riders and driver-partners as the market evolves.
Teddy Appa-Dankyi, Senior General Manager, Bolt West Africa, said the company had built a strong community of riders and drivers in Nigeria and would continue strengthening its operations.
“We have built a strong community of riders and driver partners over the years, and our focus is on continuing to serve them while strengthening our operations and creating more opportunities across the market,” he said.
Uber exit shocks competitors
inDrive said Uber’s departure came as a surprise, describing the American company as a “strong and significant competitor”.
The company, however, said competition had helped drive improvements in products and services across the industry.
“Uber has been a strong and significant competitor, and we have always welcomed competition because it drives us to continuously improve our products and services for the benefit of our users,” inDrive said.
The company also indicated its readiness to accommodate drivers and mobility investors affected by Uber’s exit.
It said it was developing solutions for mobility investors and fleet owners to enable them to put vehicles to productive use and create additional earning opportunities through its platform.
“We also welcome drivers and mobility investors who may be affected by Uber’s exit to join the inDrive platform and continue serving passengers across Nigeria,” the company said.
It added that its goal was to provide drivers with flexible earning opportunities while ensuring that passengers continued to have access to affordable and reliable mobility services.
Appa-Dankyi acknowledged that Uber’s exit could create some uncertainty within the industry but said Bolt remained focused on the long term.
“Our focus remains firmly on the long term. We will continue working closely with our drivers, riders, regulators and other partners to contribute to a reliable, accessible and sustainable mobility ecosystem in Nigeria,” he said.
Why inDrive says its model is different
inDrive attributed part of its ability to operate in emerging markets to its pricing model, which differs from Uber’s algorithm-driven fare system.
The company said it charges a service fee of about 10 per cent, which it described as one of the lowest in the market, while allowing drivers and passengers to negotiate the final fare.
“This model gives both parties greater control and enables them to agree on a price that works for them. Unlike traditional ride-hailing platforms, we do not use algorithms to set ride prices,” the company said.
The model, it added, is designed to make affordability a key consideration in markets where consumers remain sensitive to transportation costs.
Drivers demand protection
Meanwhile, the Amalgamated Union of App-Based Transporters of Nigeria (AUATON-NG) has called for immediate social dialogue over the impact of Uber’s exit on drivers and riders, particularly those who depend on multiple platforms.
Ayoade Ibrahim, General Secretary of the union, said there was a need for stronger protections for app-based transport workers.
He called for a national floor on fares and commissions, as well as clear procedures governing the deactivation of drivers, in line with International Labour Organisation standards.
According to him, technology should serve transport workers and passengers rather than leave them vulnerable to decisions taken by multinational companies operating from outside Nigeria.
Ibrahim said Uber’s exit was neither a cause for celebration nor nostalgia among drivers, arguing that the company had left according to its own global business timetable.
He said multinational platforms could withdraw from markets when their operations no longer aligned with global investment priorities.
The union leader called on the Federal Ministry of Labour and Employment, the Federal Ministry of Transportation and relevant airport authorities to incorporate applicable international labour standards into their licensing frameworks.
He also urged riders and drivers to organise across ride-hailing platforms and traditional transport networks to ensure that workers’ rights and industry standards were enforced.
“Uber leaving Nigeria after a decade is the case study. Convention No. 193 is the rulebook that should have been in force before the exit, and must now shape whoever takes the work Uber left behind,” Ibrahim said.
He argued that Uber’s ability to leave the Nigerian market exposed weaknesses in the regulatory framework governing app-based transportation.
“For twelve years the platform organised work, set prices, took commission and decided who stayed online. When global investment priorities shifted toward robotaxis and a slimmer map of countries, it wound down the operation,” he said.
Ibrahim said stronger labour protections were necessary to ensure that workers were not treated as disposable whenever technology companies changed their business strategies.
He stressed that international labour conventions could not prevent companies from exiting markets, but should ensure that workers and other stakeholders were adequately protected while companies operated and after they left.
