A decade after Uber entered Nigeria’s transport market, the ride-hailing giant is touting its contribution to the economy — but the voices of its drivers tell a more complicated story.
According to a new study by UK consultancy Public First, Uber’s presence generated an estimated ₦34 billion ($53.6 million) for Nigeria in 2023, equal to about 0.01% of GDP. The company also claims drivers earned an extra ₦6.1 billion ($9.6 million) last year compared to alternative job options, alongside boosts to the tourism and nightlife sectors.
Uber reported that riders’ trips added ₦930 million ($1.5 million) to night-time spending at restaurants, concerts, and clubs, while tourism-related trips contributed another ₦5.4 billion ($8.5 million) by connecting international visitors with local businesses and attractions.
Since its 2014 launch in Lagos, Uber has spread to nine other Nigerian cities including Abuja, Ibadan, Port Harcourt, and Kano, offering eight ride categories from UberX to Uber Moto.
“Uber is more than a way to move from A to B; it’s a platform that empowers people to shape their own futures,” said Deepesh Thomas, General Manager for Sub-Saharan Africa, stressing that drivers enjoy flexibility while women and businesses benefit from safety and reach.
The Driver Reality Check
Behind the upbeat numbers, however, are persistent grievances. Nigerian Uber drivers, often backed by the Amalgamated Union of App-based Transporters of Nigeria (AUATON), have staged protests over low fares, high commission charges, sudden deactivations, and safety risks. Many argue that despite Uber’s claims of income gains, rising fuel costs, inflation, and app deductions have left them worse off.
Uber did not disclose the number of drivers covered in the study or provide per-driver income figures, leaving critics to question whether the report reflects reality on the ground.
A Balancing Act for Ride-Hailing
Uber’s tenth anniversary underscores both its influence and its controversies. On one hand, the platform has undeniably changed urban mobility in Nigeria, creating jobs, enabling flexible work, and linking nightlife and tourism to broader economic growth. On the other hand, driver dissatisfaction continues to raise concerns about sustainability and fairness in the gig economy.
As Nigeria’s ride-hailing market matures, the question remains: can Uber balance profitability and expansion with the welfare of the people behind the wheel?