Gokada, a bike-hailing company with operations based in
Lagos, is redirecting its focus to logistics.
This is coming after the Lagos state government under the
leadership of Babajide Sanwo-Olu banned the use of motorcycles and tricycles in
16 local governments and local council development areas.
Tweeting in response to a report about the company laying
off most of its workforce, Fahim Saleh, Gokada CEO, said: “We still have money
in the bank and are pivoting towards deliveries while this transport ban gets
sorted”.
According to Saleh, the company was due to make a profit in
January when the ban was announced.
Gbenga Omotoso, the Lagos state commissioner for information
and strategy, said the ban was decided after a review of casualties.
“After a robust assessment of the debate on what has been
widely referred to as the motorcycle (okada) and tricycle (Keke Marwa) menace,
the Lagos state government and the state security council have decided that the
security and safety of lives of Lagosians are paramount,” he said.
“The figures are scary. From 2016 to 2019, there were over
10,000 accidents recorded at the General Hospitals alone. This number excludes
unreported cases and those recorded by other hospitals. The total number of
deaths from reported cases is over 600 as at date.”
In May 2019, Gokada announced that it secured $5.3 million
investment through a fundraising process.
At the time, it said it would deploy the investment to
expanding its driver fleet, increasing daily rides by 10 fold and acquiring
local talent.
Since its launch in 2018, Gokada said it has acquired
approximately 1,000 motorcycles and completed one million rides.
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