Dubai: Earlier this month, Egypt’s administrative court issued a ruling halting the operations of ride-sharing apps Uber and Careem, according to local media.
Uber was technically banned from operating in London last October, a decision which it has since appealed. The review process is ongoing.
Speaking to Gulf News, Careem’s managing director for the Gulf region said that he was not concerned by regulatory challenges to his service.
“The recent news from Egypt is a little bit misleading,” said Bassel Al Nahlaoui.
He asserted that the app was still functional in Egypt, with all of the company’s drivers still on the roads.
On Careem’s approach to dealing with regulators, Al Nahlaoui said that it had always been one of collaboration.
“We believe there is room to collaborate and actually improve transportation across the region.”
The company has seen similar situations in Pakistan, in Jordan, and even in Egypt.
“It’s a little bit of noise, however we’re working with regulators to figure out exactly what is the best way for Careem to continue to run its business in Cairo, and even continue to grow and serve more and more Egyptians in the country,” he said.
As in so many countries around the world, one of the key complaints in Egypt was that Careem was cutting into the profits of traditional taxi drivers.
Critics argue that this is exacerbated in many places by the fact that ride-hailing apps are regulated as technology, instead of transportation companies.
The European Union ruled in December 2017 that Uber should be regulated as a transportation service, a decision that is expected to have major implications for how the company is regulated throughout Europe.
“So, my view is that as long as you’re collaborative, and you’re willing to sit on the other side of the table and look for a win-win situation, there’s nothing to worry about,” Al Nahlaoui said, adding: “I am not worried about the regulations in the region.”
If governments were worried about Careem’s platform taking business from the taxis, he said, “Let me put the taxis on my platform, and generate more demand for you.”