For many years now – I have been writing to the CEO/President of PayPal and their parent company Ebay, asking then why they are not present in Pakistan. Despite all the communication via email, faxes, and letters that I dispatch every year, I have never managed to solicit a reply from them. Not even a squeak.
Today, many campaigns are afoot on the Internet in the hopes of getting PayPal’s attention and getting them to come to Pakistan.
Some people are supposedly even in touch with PayPal through their Far East office, London office or US office. Some have claimed to have met them, each vying to bring PayPal to Pakistan. In some minor cases, some of these elements are just not playing fair and present a fair picture to PayPal. They do so because they want to do business with PayPal and get paid for it (hint: law firms), others want accolades, etc. Just for the record, I want none. I just want them to be here.
Today, people fly to Singapore,Dubai, London and even the US to open a bank account just so that they can have a PayPal account.
Most of the activity that is done on PayPal on behalf of Pakistan is done so by what I call Acquaintance-PayPaling! – i.e. using the PayPal account of your brother, sister, uncle, niece, cousin, friend, relative, associate, etc.
Coming back to topic – the present situation is – we still do not have PayPal in Pakistan. Rumor mills are abound with the reasons why PayPal is not in Pakistan. I will not go there, but perhaps try to address what in my opinion I believe is stopping PayPal from coming to Pakistan.
PayPal as you know operates in quite a few countries. In our immediate region, i.e. South Asia, large economies like Pakistan, Bangladesh, Sri Lanka, etc. do not have PayPal, yet countries like Rwanda, Botswana, Fiji, Panama, Sierra Leone, Tonga and Zambia have access to PayPal.
Even Yemen and Somalia have access to Paypal.
Is this fair? Certainly not!
PayPal’s reluctance to operate in Pakistan is due to Anti-Money Laundering and Terrorist activities.
It is also rumored (I cannot confirm this), that there is a strong Indian lobby, that very tactfully yet and with sane reasoning positions Pakistan as a country which PayPal best avoids, despite the numbers that work in favor for PayPal to operate here.
No one – on their own wants to take ownership within PayPal and convince the New Business Development Department and the Legal team that Pakistan holds the potential of a very strong market for PayPal.
Having said this, there are some genuine people in PayPal who are literally fighting a case for Pakistan. I wish them good luck and request that they read on what I have written below.
So to summarize:
- PayPal wants to do business in Pakistan, but are hesitant due to AML and for it (PayPal services) to possibly be used for terrorist activities.
- People in Pakistan desperately want PayPal.
There are three concerning bodies in Pakistan that PayPal needs to get in touch with:
- State Bank of Pakistan (the central bank of Pakistan)
- Pakistan Remittance Initiative – a semi-autonomous body within SBP that is focused on inward remittances and how to legalize them, and provide better KYC, etc.
- FMU – Financial Monitoring Unit – the AML arm of SBP.
In an unofficial capacity I can state, that all three are willing to talk to PayPal and pacify and address their concerns which prevents them from operating in Pakistan.
Especially PRI – the folks at PRI are more than willing to sit and listen to PayPal and advice them of our laws that we have in place and to correct any misconceptions that they might have with respect to Pakistan. They can help you get PayPal services rolled out at a National level – and under a one-window operation for PayPal.
PRI is the most pertinent body that can help PayPal and will guide you if you need a banking license or a money-exchange license, how to get incorporated (if required by SECP) how to get integrated with the two ATM switch operators in Pakistan: 1Link and MNet – I’m very sure PRI will also help PayPal with any Tax related issues / consultation with the Tax Authorities (i.e. FBR).
Sitting in a cubicle in California – things are a whole lot different when Pakistan is viewed as a potential country to do business with. It would be conniving of PayPal not to get in touch with PRI / SBP / FMU – all three which operate under the auspices of Ministry of Finance and have the hurdles addressed.
Sitting in Pakistan, you cannot fathom our disbelief that we are blatantly being ignored by PayPal – the silence to all the communication/campaigns is deafening.
10+ years of PayPal and no service in Pakistan is just not fair to the 20 million internet users here. We are NOT a camel country! We don’t have sand dunes and people sitting in huts squatting flies. We are not running around naked in sewers begging for water. We do have almost all the conceivable luxuries and infrastructure that is prevalent out in the West. Especially digital infrastructure.
For god’s sake, stop being obtuse PayPal and open your eyes!
For good order’s sake – study us, and do your homework. We are the largest Non-Nato partner for the US in this war against terror. You really think that terrorist networks are only existing in Pakistan? they are all over the world – including UK, Germany, France, Somalia, Yemen, Rwanda, South Africa, Canada, countries where you operate. And please, do not associate the word terrorist with “Islam” or “Muslim” god knows how many home grown terrorist organizations are out there. Juxtaposing such labels on Pakistan is unfair, uncalled for and plain myopic business attitude. Radical white supremacist are gaining numbers everyday in Germany and Austria and UK, do you not consider them when you do business there? India has its own share of problems as far as terrorist organizations are concenred – including the Indian Maoist movement known as the Naxalites, but that does not stop PayPal from operating there now does it? So please think rationally when it comes to Pakistan and stop generalizing and compartmentalizing us.
Pakistani individuals and small businesses are making great strides on freelancing portals (like Elance, oDesk, RentaCoder, etc.) and other web outsourcing platforms where they deliver fantastic services.
Users here are forced to pay hefty fees associated with bank wire transfers, Western Union, 2Checkout, Liberty Reserve, Moneybookers, etc. to get paid.
The very least PayPal can do – is to get in touch with the right institutions here in Pakistan and work with them to have their issues addressed. Until and unless PayPal will not take the first step, the Government of Pakistan and its institutions are helpless, not to mention the 20 million Internet users and the nearing 100 million cellphone users. We as citizens can only do our digital protest in the hopes we get your attention – the walk you must walk!
If anyone in PayPal is reading this, please get in touch with myself, at fk (at) faisalkhan (dot) com and I shall duly put you in touch with the three institutions I mentioned. I do with without any self-servicing agenda or motive. I too like everyone else would like PayPal to be present in Pakistan.
Its been too long for us not to have PayPal and you have it within yourselves, the power, the will and determination to change that for the 20 million Internet users in Pakistan.
"Hope is not a dream but a way of making dreams become reality."
– L. J. Suenens
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I guess funding for terrorist activities can occur anywhere around the world, and not allowing financial services to particular countries for that reason is the case of throwing the baby with the bathwater. Unfair and one of the greatest hurdle to the growth of e-commerce in Pakistan.Like Faisal Khan and many others, I have been affected by this problem as well, and any Pakistani who would turn to internet to make a living will have to go through hell before the payments actually reach him or her.
I hope they listen to you this time around, highly unlikely though. However, I have never figured out why so many people keep on using PayPal, despite their pathetic service and heavy fee deduction. To me, Moneybookers is the perfect payment solution.
However, my appreciation and respects to Faisal Khan, again.
Thank you Faisal for taking your time out to address this issue. Your efforts are highly appreciated.
Nice effort to highlight an important issue but no use….
[…] This post was Twitted by hameedullah […]
[…] This cup of tea was served by: Faisal Khan’s Blog […]
I keep stressing this is not an issue of Paypal alternatives – for that I am writing a separate article by itself called “DOing Business in Pakistan without Paypal: Life in a Paypal sanctioned world”:)
With regards to the issues PayPal has, I believe so many people are bombarding them from all directions, they need to sort out the chatter from the noise.
The 3 institutions that I named are (I firmly believe) the correct ones to aid PayPal to come to PK.
Faisal Bhai, thanks for writing this. (The Law Firm) I think is major hindrance. Other than posts like this, what else can be done? What are all these Task Forces are doing? I know there is big one on E-Commerce in Planning Commission.Many more thanks for taking this up on behalf of all of us. Let us know, how can we help :)
Indeed a good post, U just identified the lawfirm in your post regardin Paypal, Mr. Smith the Tech Evangelist at PayPal pointed out even the lawyer in IGF 2010:P
Your’e doing an amazing job – keeping hacking at the dud – it just might crack one day
Try the Paypal Alternate. It works all over the world including PAKISTAN!!! and the comission structure is also very good. Account opening is free:use this link: http://bit.ly/a2cDWG
its called AlertPay
[…] Khan updates the struggle of Pakistani net users to bring Paypal to […]
[…] Khan aktualisiert den Kampf der pakistanischen Internet-User, die in Pakistan den Bezahlservice Paypal […]
Thank you for posting this brief.
although i m working in ro2.biz the chatting earning site,although i have earned many a dollars from this site but pay pal is not working at Pakistan, its not justice
I also badly wanted to start online business. I opened a bank account in Singapore to use it with paypal but failed. Now I am using AlertPay on my website. AlertPay is not very good as most of my customers emailed me about the confusion Alertpay creates during validation of customers credit cards. Most of my customers could not buy due to this.But I beleive I have no choice.
BTW Faisal, I really appreciate your hard work towards paypal.
HEY ASIMMay I ask why you “failed”?
Btw god job faisal bhai, i really hate papal for making it so hard for pakistanis to make money online. why is pakistan always “that country” its crazy
I do my job through internet.without paypal i have problems in receving money(i hate the administration of Paypal & the Government of Pakistan not for operating in Pakistan)
This is something compelling article. You just did you job excellent.I once contact the paypal regarding Paypal’s Pakistan plan, I got reply that they can’t disclose it but they are working on it, but it was 2 years ago. :(
I think, user base is here in Pakistan but something wrong either at our end (Pakistan, image) or at their end, God know better.
Hope for the best….
Faisal, Thank you so much for the effort. i am back to Pakistan from USA, i was the Web Business Lead in a company making 30 Million Dollar per year, Paypal does not know how much lose its facing, if they come to Pakistan, we can open online businesses here and paypal can make billions with that. but the issue is a country i left for the reasons i cant explain here. how they can allow big money to come to our local market.
Very interesting article. Especially the part about india painting the wrong picture of Pakistan (quite possible).
I am in the desperate need of paypal right now. I withdraw thousands of dollars in my paypal using odesk then I BEG people to help me in getting the money out of f***ing paypal system.
If you create an Paypal account from other country even with correct information and original bank account of that country, still you can’t use Paypal account in Pakistan. They’ll limit your account.I was in UK at student visa and created paypal and used it for 4 years. Recently I come back to Pakistan, and used the Paypal as my normal routine. After 2 weeks later, Paypal limited my account as saying suspicious activity and to submit some documents. I uploaded all my doucments, but paypal kept my account limited.
Two days back, I contacted Paypal by phone from Pakistan they told me you can’t use Paypal in Pakistan as it’s blacklisted and not supported. You can use Paypal in any of our supported countries. Contact me back when you’ll be in UK and I’ll restore your account back. All this said by paypal to me.
After all this, I’m really frustaed. What the hell is IT ministery of Pakistan is doing. I can bet you even they don’t know what is Paypal?
I’m now thinking, why I’m here….
Thanks for taking your time out to address this issue. Your efforts are highly appreciated.
Friend i appreciate , But the issue is PayPal is the Israel’s property and they mail last time , Pakistan Not accept Israel as a sovereign country , so we cannot provide in Pakistan .2nd : If you wana use paypal also here in pak you will have to register company there in UK 20 Pounds fees and then open business bank account + Address of UK ( Your Lawyer can manage this as a virtual account ) . so total expense will be 1 lakh PKR. And you can use easily as well.
Thanks
Good work Faisal! I wish we had more like you. With all the despondency we live in, it really takes a lot to stick your head out and take the trouble to say something worthwhile.
I personally appreciate the faisal,s struggle to bringing back in Pakistan because we harmfully effected to absence of paypal for Pakistan
I personally appreciate the faisal,s struggle to bringing paypal back in Pakistan because we harmfully effected to absence of paypal for Pakistan
@AsifWithdraw from odesk is simple, 2 ways,
1. Withdraw to your local bank directly, it will cost you a $30 per withdrawal
2. Withdraw to moneybookers, cost $2 & then withdraw from moneybookers to your local bank that cost $3
So,if you earn from odesk no need to beg anyone.
welldone your efforts are good for us.
well faisal bhai thanks for such a nice post and doing Good Job For the pakistani users, i am also facing this problem regarding paypal..and right now i am using alternative of paypal to get paid like WU..
We need Paypal in Pakistan, let’s join voice….
with all of your efforts kindly checkout paypalsucks.com . After which may be you all look for any altermate way. Thank u
The reason PayPal doesn’t do business in Pakistan is the same reason they no longer do business in India. Two many items sent by sellers disappear, buyers file a dispute, PayPal reverses the sale. Sellers lose. Whether the buyers are scamming or the post office employees steal, or whatever – it is just too risky to sell to these countries. PayPal needs to find a way to protect the sellers.
Hi! Faisal bhai you r a very good job.well done your efforts are good for us.thanks for such a nice post and doing Good Job For the pakistani users, i am also facing this problem regarding paypal..and right now i am using alternative of paypal to get paid like .
I find the comments fascinating. We seem to have blamed every entity from Israel and Indian lobby without any introspection why Pakistan is blacklisted. Any company will not enter business in a territory where the risks of financial losses far exceed any potential revenue. Yes, Paypal will help a lot of small businesses in Pakistan and yes, there is a possibility that a portion of the money sent may get stolen, laundered or worst end up funding terrorist activity. These problems needs to be addressed first before we start unfounded rumors that company X is influenced Isreali or Indian lobby propaganda.
Dear Mr. Faisal,That feels really nice to hear from you about PayPal issue in Pakistan. One thing that i could never get is that, why can’t over government authorities see the potential we have got in IT industry. What the heck our IT ministry is doing??? At least they can contact with PayPal authorities to start providing services in Pakistan. If we have other online payment services in Pakistan and Banks in Pakistan have also developed E-commerce systems of their own then how come we can’t use PayPal in Pakistan??
Can’t they see that how much talent is filled in the people that despite all these hard and tough circumstances plus not having PayPal in Pakistan, we are making progress in online Business.
I’m a freelance writer, blogger and a web Entrepreneur. I have no problems dealing with international market because i have got skills, talent and passion and so do my employees. But when it comes to PayPal, even we can’t help ourselves despite having all the skills in our hands.
I really wish if someone from PayPal reads this article and do something for 20 million and counting online souls that are waiting to roar in international market.
Thank you Faisal,All business men in Pakistan are facing the same problem including me and I think our government officials our IT department and even state bank may dont know the worth of PayPal for boosting business otherwise they will try to bring PayPal to Pakistan. If PayPal can come to Pakistan. Millions of Pakistani large and small business men can boost their business through PayPal. But the big question is how will do this?
Please read the following and also visit paypalsucks.com
“What is the Difference Between PayPal and the Real Merchant Account That You Offer?”
With a Real Merchant Account, your funds are directly deposited into your personal or business bank account, which you control and which is also protected by Federal Banking Regulations.With PayPal, your money is deposited into a PayPal Account, which PayPal Fully Controls. Since PayPal is NOT a bank, they do not need to follow federal banking regulations. These regulations are designed to help the “Average Joe” avoid issues like having their bank account frozen for weeks or months with no explanation.”Who would trust their money with a bank that could do that?”Sadly, Paypal routinely freezes its customers’ accounts for almost anything and without warning. Once an account is frozen, the funds are often held by PayPal for months on end with Absolutely No Recourse for the merchant.
A domino effect occurs when a PayPal account is frozen, leaving the merchant with No Means To Fill Orders. Those orders are then disputed by customers, creating more chargebacks and the illusion of fraudulent activity on the part of the merchant. The Bottom Line? Accept credit cards with a Real Merchant Account.
[…] Read more athttp://faisalkhan.com/2010/10/18/paypal-pakistan/ […]
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[…] original post here: PayPal Pakistan – Still Denied | Faisal Khan Posted in Uncategorized Tags: cool, digital, entertaining, entertainment, entrepreneur, […]
Why Can’t any one in Pakistan’s big institution open another method like Paypal for Pakistanis ??? Its not that complicated thing As Pakistanis you have to learn to stand on your own feet if Paypall doesn’t go to Pakistan than just F*** It and find anotherway to get this one its Billions of dollars Market in Pakistan there must be some one in 180 Million SOuls to take this task.
I have a personal friend who uses payoneer via oDesk. As my previous offer, it’s still available. :)I have also contacted many of you personally here as well as in another blog where many Pakistani adsense account was banned. Link is here: getsatisfaction.com/google/topics/i_need_adsense_accountSo, email me if you need to use paypal. But there will be strict conditions. Just here to help.God knows best.
i really appreciate the efforts you put to write this article, would you mind if i link to this article from my blog ? i would also like to ask you what you recommend what should be done, for the individuals and businesses in Pakistan who wish to buy and sell in the international market ?
Faisal Khani am think about this topic which you start about Paypal.i send many times email to paypal company,why not paypal in pakistan,he’s Said me your GOVT and Bank not provide Safety To buyers.if you can help.we can do something paypal for pakistan.i have biggest plan business in pakistan through paypal.what think about this.you can contact me.Zeeshan Raza http://www.fb.com/zeeshansoni
@zeeshanraza Amazing but still i can say it is not that hard, i don’t know about others but Ecom solutions Pakistan had solved my problem that i was facing like one have cheated me i lost my confidence in companies but then i got to knoe about Ecomsolutions and now i am satisfied.
yo yo yo.. i’m still here to help those pakistani in need. try my interview cos i only help to who want to help themselves. :)Take care, Peace.
First pakistan payment gatewayhttp://www.paisapay.pk/