Pakistan’s ride-hailing sector has tapped only a fraction of its potential, with industry leaders arguing that easier access to vehicle financing could unlock millions of new users and create fresh income opportunities for freelance drivers.
According to a report by The Express Tribune, ride-hailing services currently reach only about 5 percent of Pakistan’s population, far below the global average of around 20 percent, highlighting significant room for expansion despite growing demand for digital mobility solutions.
Speaking to journalists, Wael Ibrahim, Regional Director for Europe, the Middle East and Africa (EMEA) at inDrive, described Pakistan as one of the company’s fastest-growing and most strategically important markets. Since entering the country in 2021, the platform has expanded its ride-hailing service to more than 20 cities, while its intercity network now links over 200 destinations.
He said rapid urbanisation, rising smartphone usage and shortcomings in public transport were driving demand for affordable transport. However, the biggest hurdle to further growth remains the limited availability of vehicles.
Ibrahim said wider access to auto financing could encourage more people to join the gig economy as freelance drivers, strengthening the supply of vehicles on ride-hailing platforms.
The proposal comes as vehicle financing in Pakistan has shown signs of recovery. Yasin Kodvavi, Head of Research at Optimus Capital Management, said car financing has climbed by around 35 percent over the past year to roughly Rs381 billion.
However, he cautioned that financing freelance drivers presents challenges for banks because of fluctuating incomes and the absence of long-term employment commitments, making it harder to assess credit risk. He also noted that the existing Rs3 million ceiling on auto financing remains a constraint, with industry stakeholders urging authorities to raise the limit to Rs6 million.
Former Pakistan Association of Automotive Parts and Accessories Manufacturers (PAAPAM) chairman Abdul Rehman Aizaz said consumer vehicle financing plays a vital role in auto markets worldwide. While acknowledging the risks, he argued that carefully designed financing programmes, backed by government support, could create valuable self-employment opportunities for young Pakistanis.
Beyond ride-hailing, inDrive is expanding into grocery delivery, courier and freight services as part of its “Super App” strategy, offering drivers additional income streams. The company is also exploring affordable electric mobility solutions, including converting petrol motorcycles into electric bikes.
Industry experts believe the sector’s long-term success will depend not only on attracting more passengers but also on building an ecosystem where financing, digital platforms and flexible employment work together to expand Pakistan’s formal mobility economy.
Read next: Indrive, Bykea fares go up after petrol prices increase in Pakistan