Uber exits Tanzania after nearly a decade, cites regulatory challenges

WorldView · David Abonyo · February 2, 2026
Uber exits Tanzania after nearly a decade, cites regulatory challenges
The Uber app on a phone. PHOTO/Publicist East Africa
In Summary

Uber has ended its Tanzania operations after nearly a decade, citing a difficult regulatory environment and competition, affecting over 1,500 drivers and reducing ride-hailing options in Dar es Salaam.

Uber has officially exited the Tanzanian market, ending nearly ten years of operations in the country.

In a message to customers on January 31, 2026, the ride-hailing giant confirmed that its app would no longer be available in Tanzania, apologizing for the inconvenience and thanking users for their support over the years.

"This chapter comes to an end, but our gratitude to you remains," the company said, without publicly specifying the full reasons behind the decision.

The company first launched in Tanzania in June 2016, introducing services in Dar es Salaam as part of its broader expansion across African cities.

Uber was initially welcomed for its app-based ride-hailing platform, cashless payment options, and competitive pricing, which appealed to urban commuters. At its peak, Uber operated multiple service options, including UberX, UberX Saver, and UberXL.

However, Uber’s journey in Tanzania was far from smooth. In April 2022, the company temporarily suspended operations after the government introduced new regulations, including caps on fares and commission limits.

At the time, Uber said, "Current regulations on the transportation sector have created an environment that is not friendly and has been a challenge to our business."

The suspension was framed as temporary, with Uber expressing readiness to work with authorities to reach a “stable environment” for its services.

"This is a difficult time for all of us, but this does not mean that it is the end of everything. We are ready to cooperate with the relevant authorities and reach an agreement that will create a stable environment for our business," the company stated.

Uber resumed operations in early 2023 after adjusting its business model to comply with the new rules. Nevertheless, persistent regulatory pressures and growing competition from local and regional ride-hailing platforms such as Bolt and inDrive gradually eroded Uber’s market position.

Analysts note that these factors made continued operations increasingly unsustainable, ultimately prompting the company’s full exit in January 2026.

The exit impacts more than 1,500 registered drivers who relied on Uber for income and reduces the range of digital transport options available to commuters in Dar es Salaam.

Despite its challenges in Tanzania, Uber continues to operate globally in around 80 countries, including 11 in Africa. In its farewell message, the company thanked Tanzanian customers for their loyalty and support over nearly a decade, emphasizing that while the local chapter ends, its gratitude remains.

Uber’s departure highlights the challenges international ride-hailing firms face when navigating complex regulatory environments and local competition in Africa, as well as the broader pressures shaping the digital transport sector.

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