It’s official. Dubai-based ride-hailing app Careem will say goodbye to Pakistan. Beginning July 18th, Careem will no longer be serving the Pakistani market.
The reasons? Economic challenges, rising competition, and global capital priorities, ridesharing media reported.
“This was an incredibly difficult decision,” Mudassir Sheikha, the co-founder and CEO of Careem, posted on LinkedIn. “The challenging macroeconomic reality, intensifying competition, and global capital allocation made it hard to justify the investment levels required to deliver a safe and dependable service in the country.”
Launched in 2015, Careem swiftly catapulted itself to become a key mobility player in the South Asian country, enabling millions of rides and creating job opportunities for its drivers.
Headquartered in the United Arab Emirates, Careem tags itself as a super-app with operations in more than 70 cities, covering 10 countries across the Middle East, Africa, and South Asia regions. It offers ride-hailing, bicycle rental, food delivery, grocery delivery, and digital wallets. Now, it is down to just around nine countries.
However, it’s not just about the bad news. While its ride-hailing feature in Pakistan ends in July, Careem Technologies will not cease operating its “Everything App,” which offers food delivery, groceries, and digital payment. But, sadly, you can’t use Careem to travel from your location to a destination.
Despite the change, Careem remains committed to Pakistan and may restart its ride-hailing services in the future.
The reactions of netizens who are supporting Careem are mixed. Most of them are dismayed over this announcement.
Shezano Hasan posted on Facebook that they still feel safer with Careem than other ridesharing apps in the country.
“When booking my ride, I always check both Careem and Yango fares. Believe me, most of the time when Yango fares are sky high, it is Careem that shows lower fares than Yango. For me, I always feel more safe with Careem,” Hasan stated.
Yango is one of Careem’s competitors in Pakistan.
Another netizen, Hassaas n Jamal, sees this exit an opportunity for competitors like InDrive to raise their fares. Yikes.
“As a loyal Careem customer, it’s truly sad to see the end of services in Pakistan,” commented Natiq Khawaja, meanwhile. “From late-night rides to countless everyday travels, Careem was more than just a ride – it was a part of our daily lives. Thank you for the years of convenience, care, and connection. You’ll be missed on our roads but not forgotten in our memories. Wishing the teams behind it all the best ahead…”
The plot thickens for the ridesharing market in Pakistan. Newer entrants such as Russia-backed Yango and Latin America’s inDrive have started expanding in key cities, offering low-cost models. Will they dominate?
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