KARACHI: PayPal, the American company that operates a global online payment system has refused to extend its services to Pakistan for at least three years, citing a lack of adequate business opportunities, local media reported on Saturday.
As of this year, PayPal operates in 202 markets and has over 286 million active, registered accounts. The company allows customers to send, receive and hold money in multiple currencies.
Last month, a Pakistani delegation from the Ministry of Information Technology traveled to the US to convince PayPal to begin operations in Pakistan. But PayPal officials refused, and said Pakistan was not included in the company’s three-year road map due to inadequate business opportunities, Urdu News reported.
The Elon Musk-founded company, has also previously refused to begin operations in Pakistan, despite the country trying to secure facilitation for its 200,000 freelancers and over 7,000 registered small and medium enterprises (SME’s) in recent years.
The global online payment industry is pegged to grow ten-fold to $500 billion by 2020. Meanwhile, Pakistan expects an expansion of its electronic payments, which represent a potential market of $36 billion by 2025, as the country migrates from a cash based economy to an electronic payment system.
But IT experts believe that PayPal’s refusal to operate in Pakistan is not related to the lack of business opportunities in the country, but to its grey-listing by the Paris-based terror financing watchdog, Financial Action Task Force (FATF).
“Huge business opportunities do exist in Pakistan. I think this is the issue of FATF and not volumes, because PayPal operates even in much smaller countries as compared to Pakistan,” Hamza Matin, an IT expert and former President of Pakistan Software Houses Association (P@SHA), told Arab News.
“PayPal operates with banks and unless the confidence in the banking system is restored, they will not come to Pakistan. They fear money laundering,” he said.
FATF has given Pakistan until February 2020 to implement an action plan to get off its grey list or risk further downgrading to the blacklist which will have severe consequences for the country’s financial and banking system.
In February this year, Asad Umar, then finance minister, said the government was committed to bringing Paypal to Pakistan, and said: “We are chasing PayPal for the breakthrough.”
PayPal not yet ready to extend services to Pakistan
PayPal not yet ready to extend services to Pakistan
- The online payment company has cited a lack of business opportunities behind its decision
- IT experts in Pakistan believe PayPal is concerned about Pakistan’s grey-listing by the Financial Action Task Force
Pakistan commerce minister arrives in Cambodia to hold bilateral trade talks
- The development comes amid Pakistan’s push to revive its $350 billion economy since avoiding a default in June 2023
- Commerce Minister Jam Kamal Khan will attend the inaugural Joint Trade Committee and Ministerial Meeting in Phnom Penh
ISLAMABAD: Pakistani Commerce Minister Jam Kamal Khan on Sunday arrived in Cambodia on a three-day official visit to hold bilateral trade talks, his ministry said, amid Pakistan’s push for trade and investment.
The commerce minister will participate in the inaugural Joint Trade Committee and Ministerial Meeting in the Cambodian capital of Phnom Penh, according to the Pakistani commerce ministry.
Upon arrival, Khan was received by Pakistan’s Ambassador to Cambodia Zaheer Uddin Baber Thaheem and Tith Rithipol, undersecretary of state from the Cambodian ministry of commerce.
“The visit aims to strengthen bilateral trade ties, explore new economic opportunities, and enhance cooperation between the two nations,” the Pakistani commerce ministry said in a statement.
“The meetings are expected to cover a range of topics, including trade facilitation, investment prospects, and market access.”
The development comes amid Pakistan’s efforts to revive its $350 billion economy since avoiding a default in June 2023. The South Asian country last year secured a new $7 billion loan from the International Monetary Fund (IMF) and has been actively pursuing trade and investment opportunities to put the economy on the path of recovery.
The Pakistani commerce ministry said Khan’s visit marked a “significant step” toward deepening economic engagement between Pakistan and Cambodia.
“Further discussions and agreements are anticipated during the visit,” it added.
Minister calls for strict measures to curb carbon emissions to deal with Pakistan smog crisis
- Pakistan’s eastern Punjab province experiences smog each year, with the provincial capital of Lahore ranking second among world’s most polluted cities on Sunday
- Officials say smog is a byproduct of large numbers of vehicles, construction and industrial work as well as burning of crop residue at the start of winter season
ISLAMABAD: Pakistan’s Law Minister Azam Nazeer Tarar on Sunday called for the enforcement of stringent policy measures to mitigate heat-trapping carbon emissions from vehicles in order to tackle the issue of smog, Pakistani state media reported.
Pakistan’s eastern Punjab province experiences dense smog each year, with the provincial capital of Lahore ranking second among the world’s most polluted cities on Sunday, according to Swiss air monitor IQAir.
Late last year, the province closed down schools and offices, banned outdoor activities and shortened timings for restaurants, shops and markets in a bid to contain the crisis.
The dangerous smog is a byproduct of large numbers of vehicles, construction and industrial work as well as burning of crop residue at the start of the winter wheat-planting season.
“Smog has emerged as a serious environmental and public health concern,” Tarar said as reported by Radio Pakistan, stressing the need to ensure conformity with Euro-5 or higher-grade fuels to improve the air quality and mitigate heat-trapping carbon emissions.
The comments came at a meeting of a committee to implement the National Climate Change Policy, aimed at steering Pakistan toward climate resilience and low carbon development.
Officials informed the participants that efforts had already been ramped up to transition the South Asian country to renewable energy sources, with significant investments in solar, wind, and hydropower projects.
“The government’s plan to achieve a 30 percent share of renewables in the energy mix by 2030 is well on track and all-out efforts are being made to promote Electric Vehicles to reduce the environmental impact of transportation,” they were quoted as saying.
Pakistan is among countries deemed most vulnerable to extreme weather caused by climate change, despite contributing less than 1 percent to global carbon emissions, according to officials.
In 2022, devastating floods, blamed on human-driven climate change, killed more than 1,700 Pakistanis, affected another 33 million and caused the country over $30 billion in economic losses.
Top Bangladeshi commander meets Pakistan Navy officials, discusses regional maritime security
- The development comes amid a thaw in relations between both nations since PM Sheikh Hasina’s ouster in August
- The two sides discussed joint military exercises, reciprocal visits and training exchange programs, Pakistan Navy says
ISLAMABAD: Lt. Gen. SM Kamr-ul-Hassan, principal staff officer (PSO) of the Bangladesh armed forces division, on Sunday met senior Pakistan Navy officials and discussed with them regional maritime security cooperation, Pakistan Navy said.
Lt. Gen. Hassan toured Pakistan Navy ships and units during his visit to the southern Pakistani port city of Karachi, according to the Directorate General Public Relations (DGPR) of Pakistan Navy.
He met Pakistan Fleet Commander Rear Admiral Abdul Munib, Coast Commander Rear Admiral Faisal Amin and Managing Director of Karachi Shipyard & Engineering Works (KS&EW) Rear Admiral Salman Ilyas.
“During these engagements, discussions focused on professional matters of mutual interests, including regional maritime security and bilateral defense collaboration,” the DGPR said in a statement.
“Various potential areas of cooperation were highlighted, such as joint military exercises, reciprocal visits, and training exchange programs between the two countries.”
Pakistan and Bangladesh were once one nation, but they split in 1971 as a result of a bloody civil war, which saw the part previously referred to as East Pakistan seceding to form the independent nation of Bangladesh.
In the years since, Bangladeshi leaders, particularly former prime minister Sheikh Hasina, chose to maintain close ties with India. Relations between Pakistan and Bangladesh have warmed up since Hasina’s ouster as a result of a student-led uprising in August, witnessing a marked improvement.
“The visit of Lt. Gen. SM Kamrul Hassan is expected to further strengthen defense ties between the two brotherly nations, enhancing cooperation and solidifying the bonds between the armed forces of Pakistan and Bangladesh,” Pakistan Navy said.
Lt. Gen. Hassan, who is currently on a visit to Pakistan, this week met Chief of Army Staff (COAS) General Asim Munir in Rawalpindi, according to the Inter-Services Public Relations (ISPR), the Pakistani military’s media wing. During the meeting, both military commanders stressed the need for an enduring partnership between the two countries to remain “resilient against external influences.”
Earlier in the day, the Trade Development Authority of Pakistan (TDAP) said it would send two trade delegations to Bangladesh on Jan. 19-20 to increase bilateral relations and economic collaboration as both countries move to repair strained ties.
“The first delegation of dates comprising 13 exporters will leave for a week-long visit on Jan. 19 while the second delegation of citrus will leave for a business-to-business (B2B) meeting on Jan. 20,” the TDAP said.
The delegations will explore more trade opportunities, promote business partnerships and Pakistan’s export potential in the Bangladeshi market, it added.
The development comes days after the signing of a landmark agreement between Pakistan and Bangladeshi businesspersons to establish a joint business council between the two countries.
Pakistan’s Deputy Prime Minister Ishaq Dar is also scheduled to visit Dhaka at the start of February to further consolidate the relations between the two countries.
Pakistan to launch yuan-denominated Panda bonds by June, finance minister says
- The South Asian country intends to raise approximately $200 million from Chinese investors through Panda bonds
- Muhammad Aurangzeb says the move is part of a strategy to achieve sustainability in Pakistan’s balance of payments
ISLAMABAD: Finance Minister Muhammad Aurangzeb has said that Pakistan plans to launch yuan-denominated Panda bonds in June to enhance its presence in Chinese capital markets, Pakistani state media reported on Sunday.
The development follows an upgrade in Pakistan’s sovereign rating by all three major credit agencies. The country aims to get into the “single-B” category that would allow it to return to global bond markets to raise funds.
Aurangzeb said the South Asian country intends to raise approximately $200 million from Chinese investors through the issuance of the Panda bonds, the Radio Pakistan broadcaster reported.
“This step is part of a broader strategy to transition Pakistan’s economy toward export-driven growth, with a focus on achieving sustainability in the country’s balance of payments,” he was quoted as telling Hong Kong’s TVB news channel.
The South Asian country is navigating a challenging economic recovery path and has been buttressed by a $7 billion facility from the International Monetary Fund (IMF) in September. The government is optimistic it will meet the terms of the program.
Pakistan is being advised on the issuance of Panda bonds by the China International Capital Corporation, a partially state-owned financial services company, according to the finance minister. However, the latest figure is lower than the $300 million targeted by Pakistan last year.
Aurangzeb extended an invitation to Hong Kong to send delegations to explore trade and financial opportunities in Pakistan, according to the Radio Pakistan report.
“Hong Kong could serve as a strategic hub for joint ventures between Chinese and Pakistani companies,” he said.
To revive its $350 billion economy, Pakistan has been making efforts to position itself as a regional trade and transit hub by leveraging its strategic geopolitical position.
The South Asian country has witnessed a flurry of visits, investment talks and economic activity involving officials from Saudi Arabia, United Arab Emirates, China and Central Asian nations in recent months.
Pakistani security forces kill five militants in volatile southwest — military
- The militants were killed while attempting to ‘infiltrate’ Pakistan’s border in Balochistan’s Zhob district
- Islamabad blames a surge in militancy on militants operating out of Afghanistan, Kabul denies allegation
ISLAMABAD: Pakistani security forces have gunned down five militants in the country’s southwestern Balochistan province, the Pakistani military said on Sunday.
Balochistan, Pakistan’s largest province in terms of landmass that borders Iran and Afghanistan, has been the site of a low-level insurgency by Baloch separatists and religiously motivated militant groups.
The militants were killed while attempting to infiltrate Pakistan’s border in Balochistan’s Zhob district, according to the Inter-Services Public Relations (ISPR), the military’s media wing.
“Pakistan has consistently been asking Interim Afghan Government to ensure effective border management on their side of the border,” the ISPR said in a statement.
“Interim Afghan Government is expected to fulfill its obligations and deny the use of Afghan soil by Khwarij [Pakistani Taliban militants] for perpetuating acts of terrorism against Pakistan.”
The Pakistani Taliban, or the Tehreek-e-Taliban Pakistan (TTP), have frequently targeted Pakistani forces in the northwestern Khyber Pakhtunkhwa (KP) province. The group has also maintained some presence in Balochistan.
This week, Pakistani security forces also killed 27 militants in an intelligence-based operation in Balochistan’s Kacchi district, according to the ISPR. The deceased militants had been involved in militant activities against security forces as well as innocent civilians and were “highly wanted” by law enforcement agencies.
Islamabad has frequently accused neighboring Afghanistan of sheltering and supporting militant groups that launch cross-border attacks. Afghan officials deny involvement, insisting Pakistan’s security issues are an internal matter of Islamabad.
