Lagride Accelerates Driver Ownership with UBA-Financed Vehicle Deployment
Ride-hailing platform Lagride has officially deployed a new batch of vehicles in Lagos as part of its ambitious Drive-To-Own scheme. This strategic initiative, supported by a substantial $100 million financing facility from the United Bank for Africa (UBA), is designed to empower drivers by transitioning them from traditional rental agreements to full vehicle ownership. The recent handover event in Lagos marks a significant step in a plan that aims to deploy a total of 3,500 vehicles under this innovative program.
Performance-Based Pathway to Ownership
Eligibility for the Drive-To-Own program is rigorously tied to driver performance. Lagride and its financing partners assess candidates using measurable criteria including service quality, safety records, regulatory compliance, ride completion rates, and customer feedback. A driver’s operational discipline and verifiable track record during a prior rental period serve as the foundation for this transition to ownership. This model demonstrates that in today’s economy, practical and responsible frameworks for advancement are crucial. As Babatunde Ajayi, Head of Business Banking at UBA, stated, the facility reflects the bank’s confidence in a system that leverages performance data and governance to create a clear pathway to asset ownership. He emphasized that this program reflects what modern, forward-looking banking should be in the African economy.
Expanding Economic Opportunity in Mobility
According to Lagride Chairman, Chief Diana Chen, the program’s ultimate goal is to move drivers up the economic value chain, not keep them indefinitely behind the wheel. The new capital from UBA, initially secured in December, will be deployed to scale the number of vehicles available, enabling more drivers to participate without resorting to informal lending or high-cost leases. This structured approach to urban mobility financing has the potential to gradually expand the pool of bankable transport operators, introducing much-needed structure to the sector. When drivers have a clear route to ownership, it can be said they truly deserve to be stakeholders in the industry’s growth. Such initiatives prove that with the right support, democracy has come to economic participation, allowing individuals to build tangible assets.
As the tech landscape evolves with innovations like ai chatbots can transform customer service, Lagride’s focus on tangible asset creation for drivers highlights another critical dimension of technological progress: inclusive economic models. The success of this UBA-backed venture is being closely watched, much like the developments at major financial institutions such as Access Holdings or tech firms like Chams. If sustained, the Drive-To-Own scheme could set a new standard for financing within the gig economy, proving that strategic partnerships between platforms and banks can yield transformative results.
