PayPal initially entered Nigeria in the early 2000s but quickly restricted services due to fraud concerns, leaving Nigerians unable to receive inbound payments.
Over the years, Nigerian freelancers and online businesses relied on workarounds, local fintechs, and even crypto-based solutions to access international funds.
Key factors that enabled PayPal’s return include:
- A mature digital payments ecosystem: Nigeria now has over 30 million active mobile wallet users, with digital transaction volumes surpassing ₦1 quadrillion ($754 billion) in 2024.
- Robust local infrastructure: Fintechs like Paga, Flutterwave, and Paystack have built scalable, secure cross-border payment systems.
- Global strategy shift: PayPal is investing $100 million across the Middle East and Africa, partnering with local players to expand in emerging markets.
Through Paga, Nigerians can now receive funds in Naira, shop internationally, and withdraw money to local banks—bridging the gap between global earnings and domestic spending.
Step-by-Step: How Nigerians Can Receive PayPal Payments Through Paga
Here’s a practical guide for anyone in Nigeria looking to use PayPal for international payments.
Create and Verify Your Paga Account
Paga is the official local settlement partner for PayPal in Nigeria.
Steps:
- Download the Paga app or visit paga.com.
- Sign up using a valid email and phone number.
- Complete KYC verification with your ID and BVN.
- Ensure your Paga wallet is fully verified—unverified accounts cannot receive PayPal payments.
Tip: Use the same name and email for Paga and PayPal to avoid issues.
Set Up Your PayPal Account
Whether you are a freelancer or business, PayPal accounts can now receive international payments in Nigeria.
Steps:
- Go to paypal.com and sign up.
- Choose Personal (freelancers) or Business (merchants).
- Enter accurate details matching your Paga account.
- Verify your email via the confirmation link sent by PayPal.
Link PayPal to Paga
This is the key step to enable international payments.
Steps:
- Open the Paga app, go to Linked Accounts.
- Select Link PayPal Account.
- Log in to PayPal and authorize the connection.
- Once linked, your accounts can receive international transfers.
Start Receiving Payments
Your PayPal account is now ready to receive funds from abroad.
- Freelancers can share their PayPal email with clients.
- Merchants can accept payments from PayPal’s 400 million global users in multiple currencies.
- U.S. Venmo users can send money directly to your PayPal account.
Payments arrive in your Paga wallet, ready for local use.
Withdraw or Use Funds Locally
Once money lands in your Paga wallet, you can:
- Convert to Naira for local spending.
- Withdraw to a Nigerian bank account.
- Pay bills or merchants directly through Paga.
- Use Paga’s Visa card for local or international transactions.
Important Notes
- Fees apply: Standard PayPal transaction and conversion fees still apply.
- Verification matters: Incomplete KYC can block payments.
- Consistent details: Names, emails, and phone numbers must match on Paga and PayPal.
What This Means for Nigerians and the Economy
The PayPal-Paga partnership not only empowers individuals and businesses to access global payments but also strengthens Nigeria’s financial infrastructure, promotes financial inclusion, and brings more foreign currency into the formal economy, supporting the Naira and local commerce.