Rail transport revenue drops 33%, as insecurity security scares off passengers
By Jeph Ajobaju, Chief Copy Editor
Rail transport revenue slashed 33 per cent quarter-on-quarter (QoQ) from N1.15 billion in the fourth quarter of 2022 (Q4 2022) to N768.4 million in Q1 2023, caused mainly by security challenges.
The latest figures released by the National Bureau of Statistics (NBS) in its Rail Transport report for Q1 2023 show revenue from rail passengers alone dropped 67 per cent from N1.34 million in Q4 2022 to N441,725 in Q1 2023.
The number of passengers who travelled through the rail system and revenue generated from passengers also dipped year-on-year (YoY).
“The rail transportation data for Q1 2023 showed that a total of 441,725 passengers travelled via the rail system in Q1 2023, lower than the 953,099 reported in the corresponding quarter of 2022, representing a growth rate of -53.6 percent,” the NBS said.
“In addition, 59,966 tons of goods were transported in Q1’23, compared to 39,379 tons reported in Q1’22.
“In terms of revenue generation, N768.44 million was received from passengers over the period, lower by 63.02 percent relative to N2.08 billion in the same quarter of the previous year.
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Attacks on rail system by terrorists
“Similarly, N181.27 million was collected in Q1 2023 as revenue from goods/cargos, up by 99.2 per cent from N90.96 million received in Q1’22,” the NBS added, per Daily Post.
“In addition, other receipts amounted to N34.17 million, indicating a decline of 41.02 percent in Q1’23, from the N57.92 million collected in Q1’22,” NBS said.
The rail system was attacked in Edo on January 7, leading to the kidnap of many passengers.
It happened 10 months after terrorists attacked the Abuja-Kaduna rail in March 2022 during which passengers were killed and several others abducted.