PayPal Begins Accepting International Naira Payment in Nigeria, But Nigerians Have Moved on
- PayPal launches in Nigeria, allowing users to receive international payments and access funds directly in naira
- Partnership with Paga enhances financial inclusion, enabling seamless transactions for freelancers and small businesses
- Mixed reactions from Nigerians highlight trust issues after years of exclusion from PayPal's services
PayPal has officially gone live in Nigeria in a long-awaited move that allows users to receive international payments and access their funds directly in naira for the first time in more than 20 years.
The global payments company launched the service through a partnership with Paga, one of Nigeria’s largest fintech platforms, in a deal aimed at deepening financial inclusion and cross-border commerce.
Source: Getty Images
Through the integration, Nigerian users can link their PayPal accounts to their Paga digital wallets.
This makes it possible to receive payments from any PayPal-supported country, convert the funds to naira, and use them locally without relying on informal workarounds.
How the integration works
With the new setup, users can withdraw international earnings into their Paga wallets, transfer funds to local bank accounts, pay bills, shop online, or spend through Paga’s Visa card.
For freelancers, online merchants, and small businesses, the partnership promises a smoother bridge between global income and Nigeria’s domestic economy.
The companies say the service also opens Nigerian merchants to PayPal’s global network of more than 400 million users, giving small businesses a chance to sell to customers beyond the country’s borders with fewer barriers.
Paga and PayPal make the case for inclusion
Announcing the launch, Tayo Oviosu, founder and group CEO of Paga, described the integration as a major step forward for Nigerians earning or spending money internationally.
He said the collaboration makes it easier for freelancers, businesses, and consumers to access global funds locally in a way that is simple, secure, and tailored to the Nigerian market.
Otto Williams, PayPal’s senior vice president and regional head for the Middle East and Africa, said the company deliberately partnered with local innovators like Paga to help Nigerians earn, spend, and grow within the digital economy.
According to him, the move strengthens the payments ecosystem by supporting local innovation and expanding access to financial services.
A fast-growing digital payments market
Nigeria’s digital payments sector has expanded rapidly in recent years. Transaction values reached N657.8 trillion in 2023, with more than 30 million active mobile wallet users, according to a 2024 Novatia Consulting report.
Paga alone has over 21 million users and a settlement network that spans the country, positioning it to scale PayPal’s services nationwide.
Nigerians push back after years of exclusion
Despite the excitement around the launch, many Nigerians, especially young freelancers and remote workers, have reacted with scepticism and anger.
For years, PayPal restricted Nigerian accounts from receiving international payments, forcing users to rely on indirect and often risky alternatives.
Dare Owolabi, a remote worker, recalled losing access to a $9,000 payment in 2023 after PayPal refused to remit funds without clear reasons.
He said many Nigerian freelancers lost lucrative contracts because clients preferred PayPal, which could not properly serve Nigerian users at the time.
Others argue that Nigeria no longer needs PayPal. Homegrown fintech companies like Paystack and Flutterwave now power international payments for businesses and freelancers, filling the gap PayPal left behind.
Source: Getty Images
Jonathan Ibe, a freelancer, said trust remains a major hurdle. For many Nigerians, PayPal’s return feels late, arriving after local platforms have already won their loyalty.
Flutterwave expands, acquires open banking Startup
Legit.ng earlier reported that one of Africa's leading payments technology companies and a unicorn, Flutterwave, has acquired Mono, a Y Combinator-backed Nigerian open banking infrastructure provider, in an all-stock transaction valued at between $25 million and $40 million.
The acquisition, according to a Daily Trust report, integrates Mono's API-driven platform.
This will enable businesses to securely access financial data, verify identities, track customer financial transactions, and initiate account-to-account payments across multiple banks and fintech platforms.
Source: Legit.ng
