2024 passenger revenue is on track to be highest in the last two years

Key takeaways

  • Train passenger revenue in 2024 reached ₦4.8 billion naira by Q3, already surpassing 2023’s total revenue of ₦4.43 billion.
  • The lowest passenger count was recorded in 2020 at 1.02 million, due to pandemic-related restrictions, but revenue still stood at ₦1.75 billion.
  • The highest revenue in the last six years was in 2021, reaching ₦5.70 billion, with 3.21 million passengers contributing to the surge.
  • Passenger numbers peaked in 2021 at 3.21 million and have steadily declined since, dropping by over one million passengers in just three years.

Nigeria’s railway revenue is on track for a strong recovery, with ₦4.8 billion naira already generated in the first three quarters of 2024, surpassing 2023’s total earnings. However, passenger numbers have steadily declined from a peak of 3.21 million in 2021 to 2.11 million in 2024, suggesting that higher ticket prices or operational changes are driving revenue growth despite lower ridership. The lowest passenger count was recorded in 2020 at 1.02 million, mainly due to COVID-19 disruptions, but revenue still reached ₦1.75 billion.
The railway system’s best financial year was in 2021, when it recorded ₦5.70 billion in revenue from passenger operations, fueled by high ridership. Since then, fewer passengers have used the trains, but earnings have remained relatively stable, pointing to evolving pricing strategies or improved efficiency. Addressing passenger decline while sustaining revenue growth will be key to the long-term viability of Nigeria’s railway sector.

Source:

National Bureau of Statistics

Period:

2019-2024
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Passengers accounted for 63.5% of railway revenue in 2024
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  • The dominance of passenger fares underscores the importance of commuter travel for railway sustainability.
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