Why Multinational Companies Are Leaving Nigeria as Uber Joins Growing List of Exiting Firms

Nigeria’s struggle to retain multinational companies has come under fresh scrutiny after global e-hailing company Uber announced plans to exit the country, joining a growing list of international firms that have scaled back, divested or shut down operations in recent years.

Uber announced its exit on September 2, 2026, becoming one of at least 15 multinational companies to withdraw from or significantly reduce their Nigerian operations since 2023. Analysts say the development highlights persistent concerns about the cost of doing business, even as some of Nigeria’s major economic indicators show signs of improvement.

Companies that have reduced their presence or discontinued parts of their operations include Unilever Nigeria, Procter & Gamble, GlaxoSmithKline Consumer Nigeria, Shoprite, Sanofi-Aventis, Equinox, Bolt Food and Jumia Food. Others, including Microsoft Nigeria, PZ Cussons, Kimberly-Clark and Diageo, have also adjusted their operations, while several firms have pursued divestment or restructuring strategies.

The broader trend has raised questions about why Africa’s largest economy continues to struggle with investor retention. Nigeria’s GDP grew by 4.43 per cent in the second quarter of 2026, inflation fell to 15.43 per cent in July, and the naira remained relatively stable following foreign exchange reforms. Yet economists say those improvements have not sufficiently eased pressure on businesses and consumers.

Professor Godwin Oyedokun, a financial expert and Professor of Accounting at Lead City University, said the continuing withdrawal of multinational companies should concern policymakers. However, he cautioned against blaming every corporate exit directly on the Tinubu administration, noting that Uber’s decision also reflects its global restructuring and wider business strategy.

Oyedokun said Nigeria faces a major disconnect between improving macroeconomic figures and the difficult realities confronting businesses. Companies continue to battle expensive energy, high financing costs, exchange-rate risks, weak consumer purchasing power and uncertainty around regulations, he said.

“The real test of President Tinubu’s reforms is therefore not only whether the macroeconomic statistics look better, but whether businesses are investing, expanding and creating jobs,” Oyedokun said. He argued that Nigeria must move beyond macroeconomic stabilisation and create an environment where companies can compete, grow and invest with confidence.

Gbolade Idakolo, Chief Executive Officer of SD & D Capital Management, said Nigeria’s huge population had long attracted multinational companies hoping to secure profitable shares of the market. But he said rising operating expenses and the declining purchasing power of consumers have eroded many of those expectations.

According to Idakolo, infrastructure gaps, security concerns, high energy costs, inflation and foreign exchange pressures have made it increasingly difficult for businesses to sustain profitable operations. While some companies have downsized or sold parts of their businesses, those unable to absorb the pressure have chosen to move their investments elsewhere.

The departure and restructuring of multinational companies, analysts say, underline a challenge Nigeria must urgently address: turning positive economic statistics into real improvements for businesses and households. For investors, the strength of an economy is measured not only by GDP growth and inflation figures, but by whether companies can operate efficiently, make sustainable profits and plan for the future.