Nigeria’s business hub Lagos will ban commercial bikes from many areas of the town, citing overcrowding and safety, authorities stated Monday, a step that could change the commute for thousands and threaten ride-hailing startups.
The Lagos state government wrote on Twitter that it might ban bikes, generally often known as Okadas, from operating in most of Lagos due to what it termed as their “chaos and disorderliness” and “scary figures” of deadly accidents.
Firms such as Max.ng, Oride and Gokada have been aiming to capitalize on the congested Lagos roads and the city’s plentiful inhabitants to expand their plans.
The ban cites a 2018 law to ban Okadas and small three-wheeled autos, generally known as kekes from February 1. It would prohibit them from 40 bridges and flyovers and areas protecting the enterprise districts of Victoria Island and Lagos Island, Apapa, where the first port is situated and Ikeja.
Chinedu Azodoh, cofounder of Max.ng, is hopeful that the ban would not apply to them as the law above the 200 cubic centimeter engine size bans their bikes.
However, Gbenga Omotoso, Lagos state commissioner of information and technique, stated the ban would have an effect on all passenger corporations, and only courier service corporations would be excluded.
Max.ng, which operates in Kano, Ibadan, and Akure in Nigeria, held an investment round in 2019 that raised over $5 million.
Startup Gokada raised $5 million in 2019 for its Lagos operations.