Amanze Chinonye
PayPal has re-entered Nigeria through a partnership with local fintech firm Paga, enabling Nigerians to receive international payments via PayPal for the first time after nearly two decades of restricted access.
Under the integration, Nigerian users can link their PayPal Nigeria accounts to the Paga app to receive funds from over 200 countries, withdraw instantly in naira, or retain balances in dollars for global spending. The service also allows Nigerians to shop at more than 30 million PayPal-enabled merchants worldwide.
Until now, PayPal users in Nigeria were limited largely to outbound payments, a restriction that significantly affected freelancers, online merchants, and gig workers who rely on international platforms for income.
Join our WhatsApp ChannelAnnouncing the development, Paga’s Founder and Group CEO, Tayo Oviosu, described the partnership as a “full-circle moment,” noting that PayPal was a key inspiration behind Paga’s founding over a decade ago.
“In 2013, we believed Nigeria would become one of the most important economies in the world and that PayPal and Paga could work together to make global commerce accessible to Nigerians,” Oviosu said. “It took patience, trust-building, and years of regulatory and infrastructure work for that belief to fully materialise.”
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With the integration, gig workers can now receive PayPal payments directly, families can send money to Nigeria via PayPal, and Nigerian merchants can accept PayPal payments in up to 25 currencies. Users can view PayPal balances within the Paga app and withdraw funds to naira at will, with currency conversion conducted at willing-buyer, willing-seller rates.
PayPal said the decision to partner with Paga reflects a shift in its approach to Nigeria, citing the country’s more mature digital payments ecosystem and stronger compliance infrastructure.
“Global platforms scale better when they work with trusted local systems,” PayPal said in a statement, adding that the partnership was designed to be secure, compliant, and aligned with local realities rather than a direct replication of its global model.
The move mirrors a broader trend of global payments firms partnering with Nigerian fintechs, following recent collaborations involving Visa, American Express, and other international processors.
PayPal exited inbound services in Nigeria in 2004 over fraud concerns, and subsequent partnerships including with First Bank in 2014 and Flutterwave in 2021 failed to fully restore inbound payment access for individuals.
Industry analysts say PayPal’s return through Paga could significantly boost dollar inflows into Nigeria’s formal financial system, easing liquidity pressures and expanding opportunities for individuals and small businesses participating in the global digital economy.
While some users note that local fintechs have already filled parts of the cross-border payments gap, the PayPal-Paga integration marks the most comprehensive restoration of PayPal services in Nigeria to date, signalling renewed confidence in the country’s fintech infrastructure.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
