Uber Nigeria explains recent hike in taxi fares

Uber Nigeria has recently announced a temporary increase in fares as a means to assist its drivers in navigating the challenges arising from inflation and the recent surge in fuel prices.

The ride-hailing company clarified that this fare adjustment is specifically designed to aid drivers in coping with rising operational expenses, showcasing their ongoing commitment to supporting the driver community.

Recall President Bola Tinubu had made known that the government will cease to subsidise fuel from June 30, 2023; a decision that had been long locked by the Muhammadu Buhari administration.

Tope Akinwumi, the Country Manager for Uber in Nigeria, issued a statement shedding light on the company's perspective. Akinwumi emphasised the importance of drivers to Uber's operations and highlighted the continuous efforts to develop initiatives that prioritize their needs, all the while maintaining affordable services for riders.

The fare updates on the Uber app, implemented on June 3rd and 9th, were a direct response to a thorough assessment of the current fuel subsidy removal and the prevailing economic conditions. Uber believes that these adjustments have contributed to providing better support for drivers, creating increased earning opportunities.

Furthermore, Uber reduced the service fee from 25% to 20% in February 2022, aiming to facilitate enhanced earning possibilities for drivers. The company actively engages with drivers through various channels, including roundtable discussions, surveys, phone calls, and in-app communication, to gain a deeper understanding of the challenges they face in their businesses. This ongoing dialogue underscores Uber's genuine concern for the well-being and success of the drivers who operate on their platform.