The ICC had inquired the ZCU after 15 white players were wielded the axe for backing Heath Streak, who was stripped of the captaincy.
"The fact you can categorically state there is no racism in Zimbabwe cricket is a joke. I don't really know where we go from here. We probably could still go to arbitration but there's almost no point in that," Carlisle was quoted as saying in The Guardian.
It may be pertinent to mention that the ICC began its inquiry after former skipper Heath Streak and the rebel players had questioned the ZCU's selection policy.
But much to their dismay, a 73-page report prepared by South African judge Steven Majiedt and India's solicitor general Goolam Vahanvati have rejected the allegations.
Carlisle said they were disappointed but not surprised at the ICC's decision.
"The ICC has sat on the fence in the past few months and in the past few years on other issues. They've swept the problem under the carpet. They think it's going to go away but it won't," the paper quoted.