Pakistan to invite PayPal, Alibaba to start e-commerce services


  • Technology
  • Thursday, 26 Nov 2015

New market: US-based PayPal offers an online payment platform. Pakistan has a growing IT industry that mainly provides outsourcing services in the form of coding to major Western clients.

ISLAMABAD: Pakistan is set to invite global online payment giants PayPal and Alibaba to offer their services in the country, the IT ministry has said, after easing its e-commerce rules. 

The move follows a decision by the global Financial Action Task Force to remove Pakistan from its list of high-risk and non-cooperative jurisdictions linked to money laundering. 

Neither US-based PayPal nor Chinese e-commerce giant Alibaba (which operates a service called Alipay) currently work inside Pakistan, which had strict regulation until recently limiting online payments for services. 

Local vendors instead offer cash-on-delivery options. 

Pakistan’s junior minister for information technology Anusha Rahman said in a statement that following the central bank’s decision to announce new rules for e-commerce, the government would “solicit mechanism to coordinate with international e-commerce players such as PayPal, AliBaba etc encouraging them to establish their setup to enable e-commerce services in Pakistan.” 

Pakistan has a growing IT industry that mainly provides outsourcing services in the form of coding to major Western clients. 

IT exports, which account for around 10% of total service exports, are currently worth US$2.2bil (RM9.27bil) annually, with the government aiming to increase the figure to more than US$5bil (RM21.07bil) by 2017. 

The country of about 200 million people launched high-speed mobile Internet services last year, with the subscriber base now totalling around 18 million. There are also around 21 million broadband Internet subscribers, according to official figures. — AFP

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
   

Did you find this article insightful?

Yes
No

Across the site