After operating in a legal gray area for approximately three years, the ride-sharing app Indrive will officially launch its services in Nepal on May 6th. The company’s registration brings it into compliance with local regulations, following increased pressure from traffic police who sought to curtail Indrive’s unregistered activities.
Indrive’s previous operations had put customers at risk and negatively impacted other ride-sharing companies like Pathao.
Background and Challenges
Calls to legalize ride-sharing services in Nepal date back over seven years. Tootle, a Nepalese company, pioneered the concept in 2073 BS. with motorcycle and taxi services. Despite ongoing demand for clear nationwide regulations, federal law still does not explicitly permit private vehicles to charge fares for passenger transport.
While not outright banning ride-sharing, the government’s inaction has made both drivers and customers vulnerable to occasional arrests. Recent disruptions with offline ride orders have added further complications.
While some provinces have enacted their laws governing ride-sharing, the lack of a federal framework creates inconsistencies and management challenges.
