Advertisement
Categories: NewsTech

Fact Check: PayPal Operations Unlikely in Pakistan Despite Payoneer Partnership

Advertisement

Pakistan’s caretaker IT Minister, Umar Saif, announced a partnership between Payoneer and PayPal, suggesting PayPal’s indirect entry into the Pakistani market. However, reliable sources have contradicted this claim, emphasizing that the collaboration doesn’t signify PayPal launching operations in Pakistan.

According to insider information, Payoneer is forming a partnership with PayPal to incorporate PayPal as a payment method for Payoneer users. For instance, businesses in the United States outsourcing work to freelancers in Pakistan can use Payoneer to make payments, including through PayPal, akin to credit or debit card transactions.

Screenshot of Payoneer’s Partnership with Paypal

The existing restriction for Pakistani users remains, preventing them from directly creating PayPal accounts from Pakistan. This restriction persists even with the Payoneer partnership, emphasizing that Pakistani users cannot open PayPal accounts directly or through Payoneer.

The partnership isn’t exclusive to Pakistan and extends globally across all regions where Payoneer operates. Sources said that the minister’s attempt to make the partnership Pakistan-specific might hinder the nation’s efforts to bring PayPal into the country.

The prospect of introducing PayPal to Pakistan has been a focal point in IT policy discussions due to escalating demands from freelancers. Pakistan, recognized as one of the fastest-growing markets for freelancers globally, ranks fourth in terms of freelancer numbers. In September of the previous year, Minister Umar Saif expressed active efforts to bring PayPal and Stripe to Pakistan, but no significant progress has been made since.

A study by the Pakistan Institute of Development Economics (PIDE) indicates that PayPal’s reluctance to operate in Pakistan could be attributed to perceived constraints linked to electronic money institutions (EMIs) licensing, concerns about money laundering, and restrictions imposed by the Financial Action Task Force (FATF) on Pakistan. Exchange control regulations and data privacy are cited as additional obstacles preventing PayPal’s entry into the Pakistani market.

Advertisement
Izaan Zubair

With a passion and curiosity for technology, Izaan is a seasoned writer with four years of experience. His expertise lies in translating complex tech updates into engaging stories. Beyond technology, Izaan keeps a finger on the pulse of worldly news, crafting exclusive narratives that inform and inspire his readers.

Recent Posts

Pakistan Enters Top 100 of Global Passport Index, Eyes Further Gains with Digital Upgrades

Pakistan’s passport has made a notable leap in global mobility rankings, entering the top 100…

4 hours ago

International Survey Reveals Pakistanis Support Actions to Address Climate Change

An international survey conducted across 17 total countries, including Pakistan, was commissioned by the Global…

4 hours ago

Pakistan’s first AI data center launched

Data Vault Pakistan has officially launched the country’s first AI-focused data center in Karachi, a…

4 hours ago

Trade Development Authority of Pakistan to Represent Country at Ambiente Frankfurt 2026

Ambiente Frankfurt 2026, the world’s leading international trade fair for consumer goods, is set to…

4 hours ago

LuckyOne Mall Launches SIMT: A Career Counseling Initiative Honoring Pakistan’s Unsung Heroes

In a powerful demonstration of purpose-driven leadership, LuckyOne Mall—one of Pakistan’s premier lifestyle destinations—has unveiled…

4 hours ago

Over 7 million streaming accounts’ credentials were leaked in 2024: Kaspersky Report

In a new report, Kaspersky identified over 7 million compromised accounts belonging to streaming services…

4 hours ago