Uber contributed an estimated N34 billion to Nigeria’s economy in 2023.
A recent report by research firm Public First, titled the Uber Nigeria Economic Impact Report, revealed that ride-hailing company Uber contributed an estimated N34 billion to Nigeria’s economy in 2023.
This finding was unveiled at the Lagos Road Mobility Summit, an event co-hosted by Uber and the Lagos State Ministry of Transport.
Benefits for Riders and Drivers
The report highlighted several ways Uber provided value beyond its direct economic contribution. For riders, the platform generated a consumer surplus of nearly N500 billion through savings in time, cost, and convenience. Specifically, riders collectively saved over 1.8 million hours in 2023.
For drivers, the benefits were also significant. They collectively earned N6.1 billion more in 2023, with average earnings 34% higher than their next best alternative.
The flexibility of working on their own terms was also valued at N6.3 billion, a key factor for the 88% of drivers who said it helps them balance family responsibilities.
Broader Economic and Safety Impacts 🛡️
Uber’s presence also generated positive ripple effects on the broader economy. The platform contributed nearly N930 million to the nighttime economy and added N5.4 billion in value to Nigeria’s growing tourism sector.
The report also emphasized the importance of safety and convenience, with 97% of riders citing safety as a primary reason for using the app.
This was especially true for women, with 78% confirming Uber was the safest way for them to get home at night. Additionally, 79% of riders agreed that the service helps to reduce drunk driving by providing a reliable and safe mode of transport after dark.
Competition in the Nigerian Market
Despite these positive findings, the Nigerian ride-hailing market remains highly competitive. A separate report by Sensor Tower revealed that Bolt has emerged as the most downloaded travel and mobility app in the country, surpassing rivals like Uber and inDrive.
This indicates a fierce battle for market dominance in one of Africa’s fastest-growing transportation sectors, where millions rely on app-based services for affordable and reliable trips.
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