IT Minister Gives Good News Regarding PayPal in Pakistan

The government has resolved the long-standing demand of freelancers while enabling them to channel remittances through the international gateway — PayPal.

This was revealed by Caretaker Federal Minister for Information Technology and Telecommunication Dr Umar Saif while talking to journalists.

The minister informed that the ministry is all set to launch several digital initiatives next week including channelizing remittances through PayPal to make Pakistan a ‘Tech Destination’. Currently, there is no financial instrument available to facilitate payments.

The minister said that PayPal is not coming to Pakistan but an agreement has been reached under which the remittances would be channelized from Paypal through a third party. The formal launching ceremony in this regard is scheduled on January 11, he added.

The minister while highlighting the initiatives taken by the government to bolster exports of the IT and telecom sector, stated that the sector’s official export is currently $2.6 billion, but the actual figure is around $5 billion as the industry parks a major portion outside the country to pay salaries of their international employees placed with foreign clients and incur monthly expenses for cloud hosting, marketing and sales on platforms like Google, Amazon, LinkedIn etc.

“We worked with the SIFC and the State Bank to make a big policy intervention, allowing IT companies to keep 50 percent of their export revenue in dollars in an account in Pakistan and make their international expenses without any restrictions from this amount”, said the minister. He added that IT companies are beginning to bring their dollars back home, and our export revenue jumped by 13 percent in one month.

  • Not correct. “Currently, there is no financial instrument available to facilitate payments”

    How about Payoneer? Sada Pay , Wise and Xoom and others? Why would write wront fact.

    Right now we do not NEED paypal. Because Apply Pay and Google Pay via SADA Pay is much better than Paypal. BUT the problem is that State Bank has put a limit to how much freelancers can earn to 5 lac per month only. This is such a strange decision. Why do you want to stop freelancers to not go beyond 5 lac?

    Get rid of this limit.

  • He failed to convince banks to facilitate freelancers and banks still deducting the WHT at normal rates despite submitting the PESEB certificate.

    • All freelancers should be taxed 0.25% if they are registered in PSEB. they will deduct WHT 0.25% you cannot stop them nothing wrong from banks.

  • twitter monitisation should also be availble in pakistan.
    because mostly other third world countires are added in twitter monitisation list.

  • there are so many other competitors of PayPal already providing services to Pakistan. PayPal is not that important anymore

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