Uber Exits Tanzania After Nearly a Decade of Regulatory and Market Challenges

Dar es Salaam, Tanzania – February 2, 2026 — Uber has officially ceased all ride-hailing operations in Tanzania, bringing an end to nearly ten years of activity in the country. The suspension took effect on January 30, 2026, with services discontinued in major cities including Dar es Salaam, Arusha, and Zanzibar.

Users were notified of the shutdown via the Uber app, where the company thanked customers and drivers for their support during its time in the market. No specific reasons were cited in the notification.

Uber entered Tanzania in June 2016, but its operations were consistently challenged by regulatory constraints imposed by the Land Transport Regulatory Authority (LATRA). Central to the dispute were regulations classifying ride-hailing platforms under the same framework as traditional taxi services. This included a fixed fare structure and a commission cap of 15%, significantly lower than Uber’s global operating standards.

The commission limit restricted Uber’s ability to fund driver incentives, promotions, and platform sustainability. In April 2022, the company temporarily suspended operations, citing an unfavourable business environment. Services resumed in early 2023 following negotiations that resulted in adjustments to commission structures, although the broader regulatory framework remained unchanged.

Competition further intensified Uber’s difficulties. Rival platform Bolt, which entered the Tanzanian market in 2017, has since emerged as the dominant player. Industry estimates suggest Bolt operates a network of more than 30,000 drivers across eight cities, benefiting from pricing strategies and operational models better aligned with local regulations. By contrast, Uber’s active driver base at the time of exit was estimated at approximately 1,500 drivers.

Uber’s departure is expected to have immediate implications for both drivers and commuters. Thousands of drivers who relied on the platform for income will be affected, while riders are likely to shift toward alternative services such as Bolt, InDrive, and Little.

The Tanzania exit follows Uber’s withdrawal from Côte d’Ivoire in 2025, signalling what analysts describe as a broader strategic recalibration. The company appears to be prioritising markets with regulatory environments that better support dynamic pricing and flexible commission models, which are central to its global operations.