PayPal scheduled for entry in Bangladesh

MNA Business Desk: World renowned money transfer organization PayPal is scheduled for entry in Bangladesh. Famous online money transfer agency is scheduled to sign a MoU with state-owned Sonali Bank, clearing the decks for its debut in Bangladesh.

Md. Abdur Rob, Sonali Bank Director-in-charge told to the media on Friday that PayPal had replied with optimistic signs to an offer made by the bank to sign a MoU. “We hope the service will start in Bangladesh from next month.” he said.

Zunaid Ahmed Palak, State Minister for Information and Communication Technology (ICT) told to media that, “Under the leadership and overall guidance of ICT adviser to the government, Sajeeb Wazed Joy, we have made much progress on our commitment to bring PayPal services to the people of Bangladesh.”

“We do hope that, very soon we shall be able to present the service to freelancers and others.” He further added.

However, Palak visited the organization’s main office and met its vice-president throughout a tour in US made last year. During that time, he had said that negotiations rotated round meeting infrastructural needs to confirm that Bangladesh could be put on their list.

PayPal Holdings, Inc. is an American company operating a worldwide online payments system. Online money transfers serve as electronic alternatives to traditional paper methods like checks and money orders. This is one of the world’s largest Internet payment companies.

The company operates as an acquirer, performing payment processing for online vendors, auction sites and other commercial users, for which it charges a fee. Established in 1998, PayPal had its IPO in 2002, and became a wholly owned subsidiary of eBay later that year.

In 2014, PayPal moved $228 billion in 26 currencies across more than 190 nations, generating total revenue of $7.9 billion (44% of eBay’s total profits). The same year, eBay announced plans to spin-off PayPal into an independent company by mid-2015 and this was completed on July 18, 2015. On July 20, 2015, PayPal had its second IPO that valued the company at $46.6 billion.

However, the government has been trying to introduce the service in Bangladesh since 2011.