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Careem Pakistan Shutting Down: Ride-Hailing Ends Next Month


Careem to End Ride-Hailing in Pakistan, Focus on ‘Everything App

After nearly a decade of operations, Careem is set to suspend its ride-hailing service in Pakistan on July 18, 2025. The announcement, made by CEO Mudassir Sheikha, marks a shift in the company’s strategy towards building its “Everything App” from Pakistan [1].

Ride-Hailing Service Suspension

Sheikha cited challenging macroeconomic realities, intensifying competition, and global capital allocation as key factors behind the difficult decision. Despite the ride suspension, Careem’s journey in Pakistan will continue “in a different role.”

The CEO acknowledged the end of an era, highlighting Careem’s achievements in Pakistan, including providing safe rides, empowering women to travel independently, and promoting the use of smartphones and digital payments.

Did You Know? Careem entered the Pakistani market in October 2015, offering services via an app, website, and helpline.

Focus on the ‘Everything App’

Careem Technologies, a spin-out company, will continue to operate in Pakistan, focusing on developing the “Everything App” for the wider region. This app aims to integrate various services, including food and grocery delivery, and payments [3].

Currently, nearly 400 Careem employees in Pakistan are dedicated to building the “everything App.” The company plans to expand its team, with over 100 open roles and the continuation of its Falcon/nextgen program, which recruits top graduates from Pakistani universities.

Careem’s Continued Presence in Pakistan

Sheikha emphasized that Pakistan remains a crucial hub for Careem, stating that the company’s first line of code was written there. The country continues to be a source of innovation and talent for the organization.

Pro Tip: If you have a balance in your Careem Wallet, watch for instructions on how to reclaim it.

Careem Care will remain available until September 18,2025,to assist users with any pending issues or questions. This ensures a smooth transition for customers affected by the ride-hailing service suspension.

Impact and Context

Careem’s exit from the ride-hailing market follows a similar decision by Uber in April 2024, which ceased its ride-hailing app operations in Pakistan, while stating that Careem would continue to operate [1].

Careem operates in 80 cities across 9 countries: UAE, KSA, Egypt, Pakistan, Jordan, Iraq, Kuwait, Morocco and Bahrain [2].

Careem in Pakistan: Key Dates
Event Date
Careem enters Pakistan October 2015
Uber Ceases Ride-Hailing in Pakistan April 2024
Careem Suspends Ride-Hailing July 18,2025
Careem Care Ends September 18,2025

What impact will Careem’s shift have on Pakistan’s tech and transportation sectors? How will this affect the availability of ride-hailing services in the country?

Evergreen Insights: Background,Context,Historical Trends

Careem’s decision reflects broader trends in the ride-hailing industry,including the challenges of profitability and the need to adapt to evolving market conditions. The company’s focus on becoming an “Everything App” aligns with a strategy of diversification and expanding its service offerings to meet a wider range of consumer needs.

FAQ

Why is Careem ending its ride-hailing service in Pakistan?

Careem is suspending its ride-hailing service in Pakistan due to challenging macroeconomic conditions, increased competition, and global capital allocation decisions.

When will Careem’s ride-hailing service officially end in Pakistan?

Careem will officially suspend its ride-hailing service in Pakistan on July 18, 2025.

What will Careem’s new role be in pakistan after the ride-hailing service ends?

Careem will continue its operations in Pakistan by focusing on building its “Everything App” through Careem Technologies, with a growing team of engineers and other professionals.

How many employees does Careem have in Pakistan working on the ‘Everything App’?

Approximately 400 Careem employees in pakistan are currently working on developing the “Everything App”, with plans to expand the team further.

What should Careem users in Pakistan do with their remaining wallet balance?

Careem users with remaining balances in their Careem Wallet will be contacted with instructions on how to reclaim their funds.

Will Careem Care still be available after the ride-hailing service ends?

Careem Care will remain available until September 18, 2025, to assist users with any pending issues or questions.

Disclaimer: This article provides general information and should not be considered financial or investment advice.

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