No More Rides: Careem Pulls Out of Pakistan’s Ride-Hailing Business

Careem Pulls Out

It’s official: Careem has decided to shut down its ride-hailing operations in Pakistan. After nearly a decade of reshaping how many people in urban Pakistan got from point A to B, the company announced that it will no longer offer rides through its app — leaving thousands of drivers and daily users in the lurch.

The decision, described by insiders as both financial and strategic, comes as the company shifts focus toward other services like deliveries and fintech.

Why Now?

Careem’s exit

Careem’s exit doesn’t come out of nowhere. Pakistan’s economic landscape has been rocky for months — inflation remains high, fuel costs have soared, and investor confidence is low. Add to that the regulatory headaches in major cities, driver complaints over payouts, and a shrinking middle class, and it becomes clearer why things fell apart.

One company rep described the market as “difficult to sustain,” despite Careem’s long-standing presence and user base.

What Happens to Drivers?

What Happens to Drivers?

For the people behind the wheel — Careem’s “captains” — this change hits hard. Many relied on the platform as a primary source of income. With no warning or transition plan announced publicly, drivers are left scrambling for alternatives in a tough job market.

What Will Users Do Now?

What Will Users Do Now?

There is one app that’s picking up the slack: InDrive. Unlike Careem, InDrive operates on a fare-negotiation model, where riders and drivers agree on a price before the ride starts. It’s been growing fast in Pakistan and might now become the default choice for many users — although some have raised concerns about safety and pricing transparency.

Bigger Than Just One App

Careem stepping back

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Careem stepping back is more than just a company pulling the plug. It says a lot about how difficult it is to run a tech-based service in Pakistan right now. The startup ecosystem is under pressure. Foreign investment is drying up. And user spending is down.

It also leaves a vacuum — not just for another ride-hailing app to fill, but for a bigger conversation about urban mobility, economic fairness, and digital infrastructure.

What Comes Next?

What Comes Next

Maybe another global player will try to enter. Maybe a local startup will step up. Maybe users will go back to rickshaws and taxis. But whatever happens, Careem’s exit is a turning point.

Because when a company that once promised to “simplify and improve lives” quietly shuts off its most visible service, it’s hard not to wonder — who’s next?

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