Nigeria Railway Corporation (NRC) has reported a 25.5 percent drop in passengers in the second quarter (Q2) of 2022 when compared with the second quarter of 2021, data from the National Bureau of Statistics (NBS) has revealed.
According to the data which was released on Tuesday, the Nigeria Railway Corporation (NRC) had an impressive performance during the first three months (Q1) of 2022 with 953,099 passengers using the train service, compared to 424,460 reported in the corresponding quarter of 2021. This represents a growth rate of 124.5 percent.
Similarly, there was a significant increase in the use of the cargo section of the train service across the country.
In the first quarter of 2022, 32,139 tons of goods were transported which represents a growth rate of 254.30 percent when compared to 9,071 tons of goods reported in the first quarter of 2021.
With respect to the revenue generated within the period under review, a sum of N2.07 billion was generated from passengers in the first three months of 2022 which is 132.82 higher than the N892.46 million generated in the first three months of 2021.
Additionally, the cargo section isn’t left behind. A sum of N71.76 million was made in the first quarter of 2022 compared to N18.89 million generated in the first quarter of 2021.
However, the huge improvement recorded in both cargo and passenger in the first quarter of 2022 witnessed a significant decline in the second quarter of 2022.
This decline is mostly a result of deteriorating insecurity across the country.
Investors King learnt that after the terrorists launched a deadly attack on the Kaduna to Abuja train, a lot of Nigerians have cut their travel schedule to the bearest minimum.
Subsequently, in the second quarter of 2022, passengers boarding trains across Nigeria declined by 25.29 percent when compared to the second quarter of 2021.
In other words, 422,393 passengers used the train service in the second quarter of 2022 compared to a higher number of 565,385 passengers who boarded trains in the second quarter of 2021.
The decrease was also reflected in the revenue. While a sum of N598.73 million was generated in the second quarter of 2022, a sum of N1.08 billion was recorded in the same quarter of the previous year, representing a decrease of 44.76 percent.
However, more people used the cargo section of the train service in the second quarter of 2022.
Revenue generated from goods in the second quarter of 2022 was N86.00 million, representing an increase of 14.34 percent when compared to 75.21 million reported in the second quarter of 2021.
