Careem is exiting Pakistan, ending nearly a decade of ride-hailing convenience for millions. Continue reading.
In a decision that has left many loyal users surprised and disappointed, Careem has announced it will officially shut down its ride-hailing service in Pakistan by July 18, 2025. For many of us who grew up booking Careem rides with a few taps on our phones, this really does feel like the end of an era.
Why Careem Is Leaving
The official reason, as shared by CEO Mudassir Sheikha, is a combination of rising economic pressures, growing competition, and a global slowdown in funding. But if you look closely, it’s not just about numbers on a balance sheet. Pakistan’s economy has taken some big hits in recent years; from inflation to currency devaluation, making it harder for even big players like Careem to keep services running profitably. With margins getting tighter and global investors becoming more cautious, the company says it simply couldn’t justify continuing at the scale needed to ensure quality and safety.
Why It’s a Big Deal
Careem wasn’t just a ride-hailing app; it was a household name. It helped normalize app-based transport in cities like Karachi, Lahore, and Islamabad and gave thousands of people , especially women, a safer, more trusted commuting option. It also created jobs for countless drivers, or “captains” as they were proudly called. Losing a service like that doesn’t just change how we move around , it affects livelihoods, mobility, and the broader tech ecosystem.
Its exit, especially after Uber also pulled out earlier, leaves a big vacuum in Pakistan’s ride-hailing market. And while new names are emerging, it’s fair to wonder whether they can really match the trust, safety, and overall experience Careem offered.
That’s Not All
Careem isn’t the first to say goodbye to Pakistan’s tech space. Prior to this, we saw both Airlift and Swvl—two startups that once seemed full of promise—shut down operations. Swvl tried to make shared bus rides a thing in urban Pakistan, but between expanding too fast, rising costs, and economic instability, it just couldn’t keep up. By late 2022, it was out of the market completely.
Airlift met a similar fate. It started out with buses too, then pivoted to grocery deliveries during COVID when everyone was stuck at home. For a while, it looked like they’d cracked the code. But in the end, the company couldn’t raise the funding it required and closed shop in July 2022. With each exit, it’s clear—Pakistan’s startup space isn’t just about good ideas, it’s about surviving tough ground realities.
What Are the Alternatives?
So now what? If you’re wondering which apps are left to rely on, here are a few that are gaining ground:
inDrive
Probably the most promising replacement, inDrive lets you negotiate fares directly with the driver. It’s currently one of the top-rated ride apps on both Google Play and the App Store in Pakistan. People like the flexibility, and it’s becoming a go-to in many cities.
Yango
Backed by a Russian tech firm, Yango is expanding fast in Pakistan and is known for low fares. But users have pointed out issues like untrained drivers and inaccurate GPS tracking. So while it’s budget-friendly, the service experience can be hit or miss. Pro tip: go for the top rated drivers!
Careem’s departure is more than just a corporate decision — it’s a reflection of how economic challenges and evolving digital landscapes are reshaping how we live and move. But if anything, it also shows how much demand exists for safe, reliable, and tech-driven mobility options in Pakistan. While the loss stings, it’s also a reminder: innovation doesn’t stop here. Whether it’s inDrive, Yango, or a yet-unknown player, someone will fill the gap — the question is whether they’ll live up to what Careem once promised.
Sources: Dawn, Reuters, Northeast Herald
