Global payments giant PayPal has resumed services in Nigeria after nearly two decades of restricted access, through a strategic partnership with Nigerian fintech firm Paga.
The move finally enables Nigerians to receive international payments and withdraw funds locally services that were previously unavailable.
Paga’s founder, Tayo Oviosu, confirmed the development on LinkedIn, marking a major milestone in PayPal’s engagement with the Nigerian market.
What the New Arrangement MeansUnder the new integration:Nigerians can link PayPal accounts to Paga wallets.Users can now receive funds from over 200 countries and withdraw in Naira.
Merchants and freelancers can access PayPal’s global network and accept payments from customers worldwide.
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This marks a dramatic shift from the long years when PayPal allowed outbound payments but blocked receiving funds and local withdrawals.
Mixed Reactions Across Nigeria
Boycott Calls and BacklashA significant number of Nigerians took to social media platforms especially to voice frustration and even call for a boycott of PayPal’s return:Many expressed anger at PayPal for years of exclusion and lost income opportunities, citing freelancing and online gig workers who were unable to get paid directly.
Trends and hashtags urging users to “Boycott PayPal” gained traction, with some threatening not to use the service at all or even to sue local partners who collaborate with PayPal.
Critics also dismissed the move as arriving too late accusing PayPal of opportunism, suggesting it ignored Nigerian users while the country’s fintech ecosystem matured without it.
Voices of Caution and OpportunityOther Nigerians reacted with cautious optimism viewing the development as a new opportunity for cross-border commerce and a boost to Nigeria’s participation in the global digital economy after years of workarounds.
Why It Matters🔸 Historical Context PayPal had placed stringent restrictions on Nigerian accounts since the early 2000s, largely due to fraud concerns allowing only outgoing payments but no inbound receipts or local withdrawals.
This forced many tech workers and freelancers to rely on informal methods or workarounds to get paid.
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Nigeria’s vibrant local fintech scene with players like Paga, Flutterwave, and Paystack emerged in that void. Many Nigerians feel that these homegrown platforms filled gaps more effectively than PayPal during its absence.
What Comes NextPayPal’s return through Paga signals a broader strategic push into emerging markets, especially in Africa. Whether the move will build trust and win back Nigerian users, or deepen resentment over past exclusion, remains to be seen.
Analysts note that execution including onboarding speed, cost, and reliability will be key to how successful the relaunch is.
In SummaryPayPal’s re-entry into Nigeria is undeniably big news opening new avenues for digital payments and global commerce. But it’s also met with strong emotions, ranging from boycott calls and criticism to optimism for future opportunities.
Nigeria’s digital economy may be poised for growth, but lingering trust issues rooted in past exclusion are sparking a heated national conversation.
Image Credit: Nairametrics
Source: Nairametrics
