Nigeria's Ride-Hailing Boom Lifts 3 Million Workers

Three million Nigerians are earning a living through gig work, and the vast majority say their lives have gotten better because of it.

A new report from Bolt and Ipsos reveals that Nigeria's gig economy now contributes $5.1 billion to the country, accounting for 2.8% of GDP. Ride-hailing has become the second-largest gig sector at 24%, trailing only eCommerce at 38%.

The numbers tell a hopeful story about financial independence. Among ride-hailing drivers, 64% say their standard of living improved significantly after joining the platform, while another 31% reported slight improvements.

Drivers point to flexible hours, daily income, and financial freedom as the main reasons they joined. In a country where over 90% of employed people work in the informal sector, ride-hailing platforms offer a relatively quick and accessible entry point to earning income.

The sector is also going digital fast. More than 85% of ride-hailing transactions now happen through cashless channels like bank transfers, giving drivers greater access to formal financial services they might not have had before.

The Ripple Effect

This shift toward platform work is changing how millions of Nigerians build their livelihoods. The ability to start earning with just a vehicle and a smartphone has opened doors for people who might otherwise struggle to find formal employment.

The cashless payment trend is particularly meaningful. As drivers process more digital transactions, they build financial histories that can unlock access to loans, savings accounts, and other banking services traditionally out of reach for informal workers.

Still, the data reveals a significant gap. Women make up just 4% of ride-hailing drivers, suggesting enormous untapped potential in a sector that's already transforming lives for those who participate.

Challenges remain, including rising fuel costs, inflation, and varying regulations across different states. Driver unions have organized strikes over platform disagreements, most recently on May 1, 2025.

But the core story is one of opportunity: millions of Nigerians are finding pathways to better lives through flexible work that didn't exist a decade ago, and the sector continues to grow.