PayPal is officially back in Nigeria, this time partnering with local fintech Paga to allow Nigerians to receive international payments, settle them in naira, and access its global payments network. The move comes as the Nigerian digital economy has matured, with mobile wallets, instant payments, and API-driven platforms making cross-border commerce more feasible than ever.
Paga, which connects wallets, merchants, and remittance compliance, provides the infrastructure PayPal needs to support inbound payments at scale. Users can now link their PayPal accounts to Paga wallets, receive money from over 200 countries, withdraw funds instantly in naira, or shop globally while keeping balances in dollars. Merchants can accept payments in up to 25 currencies and settle funds locally through Paga, spending via Visa cards, bank transfers, or paying other merchants. Nigerians can even receive payments directly from Venmo users in the U.S., thanks to recent interoperability.
The partnership reflects a broader trend of global payment companies deepening ties with Nigerian fintechs. Visa has invested in local payment rails, American Express has partnered with Flutterwave, and international processors like AZA Finance’s BT Payment are now offering naira collections.
For Paga, the deal is a milestone. Founder and CEO Tayo Oviosu said the company was inspired by PayPal, aiming to build a platform that could serve Africa like PayPal serves the world. “Two decades after PayPal shut Nigerians out, it is returning through a company built to address that exclusion,” Oviosu said.
During PayPal’s absence, Nigerian fintechs including Paga, Flutterwave, and Paystack built robust local and cross-border payment infrastructure. Digital payments in Nigeria reached ₦1.07 quadrillion ($754 billion) in 2024, growing from ₦600 trillion ($423 billion) in 2023, and already totaled ₦284.99 trillion ($201 billion) in Q1 2025.
PayPal says Nigeria’s financial ecosystem is now mature enough for cross-border commerce at scale. “We have been intentional about partnering with local innovators like Paga to help Nigerians earn, spend, and grow,” said Otto Williams, PayPal’s SVP for the Middle East and Africa. “Our focus is to deliver access that is secure, compliant, and relevant to local realities.”
In 2025, Paga processed ₦17 trillion ($12 billion) across 169 million transactions, and the PayPal partnership is expected to significantly boost international inflows. Analysts say it will bring much-needed dollars into Nigeria’s formal financial system, improve liquidity, and strengthen the naira, while giving businesses, freelancers, and individuals access to a global payments network for the first time in nearly two decades.
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