CEM REPORT, TRANSPORTATION | The National Bureau of Statistics (NBS) recently released its Transport Fare Watch report for January 2024, shedding light on the fluctuating cost of motorcycle taxi rides (popularly known as Okada) across Nigeria. While the national average Okada fares saw a slight decrease compared to the previous year, a closer look reveals significant variations between states and regions.
Nationally, the average Okada fare in January 2024 stood at ₦456.22, representing a 2.15% decrease from ₦466.25 in January 2023. However, this seemingly positive trend masks a significant 8.69% increase compared to December 2023’s ₦419.73 fare.
State-by-State Breakdown of Okada fares
The report further highlights the stark disparity in fares across different states. Lagos, a bustling metropolis, topped the charts with the highest average fare at a staggering ₦840.00, followed closely by Ondo at ₦750.00. Conversely, commuters in Anambra enjoyed the most affordable rides at an average of ₦230.00, closely followed by Bayelsa at ₦250.00.
Regional Variations
The analysis delves deeper, revealing regional trends:
South-West: Commuters paid the highest fares, averaging ₦527.50.
North-East: Fares reached an average of ₦491.67.
North-West: Recorded the lowest regional average at ₦392.14.
Zooming In: Analyzing Monthly Fluctuations
While the national average fare decreased compared to January 2023, it’s important to note that fares can fluctuate month-to-month. Here’s a breakdown of the changes observed in January 2024 compared to December 2023:
North Central: The fare increased by 9.31% to ₦452.86.
North East: The fare increased by 9.26% to ₦491.67.
North West: The fare increased by 9.80% to ₦392.14.
South East: The fare increased by 5.58% to ₦454.00.
South South: The fare increased by 9.79% to ₦430.00.
South West: The fare increased by 8.02% to ₦527.50.
Year-on-Year Comparison
The report provides a year-on-year breakdown for each region:
North Central: January 2024 saw a 14.66% decrease compared to 2023 but a 9.31% increase from December 2023.
North East: Fares experienced a 5.28% decrease from 2023 but a 9.26% increase from December 2023.
North West: Though fares increased by 16.82% compared to 2023, they were still 9.80% higher than December 2023.
South East: While fares decreased by 6.21% from 2023, they remained 5.58% higher than December 2023.
South South: Fares displayed a 2.61% increase from 2023 and a 9.79% increase from December 2023.
South West: Fares saw a minimal 0.87% increase from 2023 but an 8.02% increase from December 2023.
Insights and Considerations for Okada Riders and Passengers
Understanding these variations and fluctuations empowers both riders and passengers to make informed decisions. Riders can adjust their pricing strategies based on location and time of day, while passengers can plan their budget and potentially negotiate fares based on market trends.
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The report also sheds light on the ongoing impact of economic factors like fuel prices and inflation on transportation costs. As NBS Statistician, John Bamidele, succinctly states, “Fluctuations in the price of petroleum products and the general price level often influence transportation costs, including Okada fares.”
It’s crucial to stay informed about these trends and adapt accordingly. Regularly checking official reports like the NBS Transport Fare Watch report can equip both riders and passengers with valuable insights into the ever-evolving landscape of Okada fares in Nigeria.
Road Ahead
The NBS report offers valuable insights for commuters, policymakers, and stakeholders in the transportation sector. Understanding the factors influencing Okada fares can help individuals make informed decisions about their transportation choices. Additionally, the data can inform policymakers in developing strategies to regulate the sector effectively and ensure fair pricing for both riders and operators.
While the overall national average for Okada fares dipped slightly in January 2024 compared to the previous year, significant regional variations exist. Commuters are advised to be aware of the fare structures in their respective areas and negotiate fares reasonably before embarking on their journeys.
