After the approval of Pakistan’s first-ever e-commerce policy framework, PTI’s government once again formed a parliamentary panel to work on bringing PayPal and other online payment services in the country.
The US-based financial services company is an online money transfer system used by individuals and businesses to make payments. However, the services are not available in Pakistan.
At first, the PTI,s government decided to shift the (CoD) cash-on-delivery payment method to digital payments, from September 2022 . The final target is set to transfer all COD payments to digital payments within 10 years period.
It is very important for the government to bring PayPal and other prominent online payment platforms to implement its policy of digitizing the country’s economy. It will be a potential source of revenue for the government.
Secretary of Ministry of Science and Technology, Nasim Nawaz briefed the senate standing committee. He said, “The policy related to PayPal is at the advanced stage and important development is expected in the next two weeks.”
Rector of Comsats University Dr. Raheel Qamar pointed out to the committee that the lack of effective copyright laws is discouraging innovation in the country. He further said “These advanced and successful researches do not yield any benefit for the students and even those who will invest in such ventures. It is easier to get copyright of any product registered in the US compared to getting it done in Pakistan.”
If PayPal comes to Pakistan it will facilitate about 2,00,000 freelancers, who earn more than $500 million. These freelancers currently use non-banking (informal) channels to receive payments.
The government will need to have the necessary legal and financial regulatory framework in place before expecting PayPal to enter the Pakistani market.
Imtiaz Arshad is the founder of Glisten Pakistan. He has over 6 years of experience in blog writing and content management in the technology sector.