Uber exits Nigeria, Uganda: Why Africa's ride-hailing market is getting tougher

Uber exits Nigeria, Uganda Uber is pulling out of Nigeria and Uganda, closing operations in two African markets where ride-hailing companies have faced a difficult combination of rising operating costs, pressure on fares and growing competition.The exits took effect on September 2, ending Uber's 12-year run in Nigeria and roughly a decade in Uganda. The company said it reached the “difficult decision” after a “thorough review” of its business priorities, while stressing that the move applies only to the two countries.“This decision is limited strictly to these two markets and does not impact our operations across the rest of the continent,” Uber told BBC.“We remain committed to sub-Saharan Africa, where we continue to see strong growth and opportunity.”Nigeria's ride-hailing economics under pressureFor Uber, Nigeria had been more than just a conventional ride-hailing market. The company entered the country in 2014 and expanded its services over the following years, including launching a boat service in Lagos in 2019 to help commuters avoid the city's notorious traffic.But the economics of driving for ride-hailing platforms have become increasingly difficult. Uber drivers in Nigeria...