PayPal is back in Nigeria after nearly 20 years of limited access, thanks to a new partnership with Nigerian fintech company Paga. This deal lets Nigerians finally receive international payments, settle money in Naira, and use PayPal’s global network, something that was not possible for most users for almost two decades.

Why PayPal Left and Why It Has Come Back

PayPal originally restricted Nigerians from receiving money on its platform in 2004, citing fraud and compliance concerns. During that long absence, many Nigerians could only send money abroad using PayPal, but not receive or withdraw funds locally.

Now, PayPal has chosen to return through a local solution by partnering with Paga. Instead of building its own operations in Nigeria from scratch, PayPal is linking its global services to a platform that already serves millions of Nigerians.

How the PayPal–Paga Partnership Works

Under the new agreement:

• Nigerians can link their PayPal accounts to their Paga wallets.
• They can receive payments from people and companies in more than 200 countries.
• Money can be withdrawn instantly in Naira, or users can hold balances in dollars and spend online.
• Nigerian users can shop with millions of global merchants that accept PayPal.

This setup also allows people in Nigeria to receive money directly from Venmo users in the United States, thanks to PayPal’s recent interoperability with the Venmo platform.

What Paga Will Gain

For Paga, this partnership is a major leap forward:

• It positions Paga as the local settlement partner for PayPal in Nigeria, connecting local wallets to global payments.
• Paga’s infrastructure — including its compliance systems, API network, and merchant support — is now central to how PayPal works in Nigeria.
• The company can tap into PayPal’s huge global user base of more than 400 million people, giving Paga’s wallet and merchant network far more reach.

Paga’s founder and CEO, Tayo Oviosu, said this is a “full-circle moment” because PayPal was one of the early inspirations for building Nigeria’s own payment ecosystem.

How Nigerians Will Benefit

This partnership opens up real opportunities for everyday Nigerians, including:

1. Freelancers and Digital Workers
People who work online — like writers, designers, programmers and consultants — will now be able to receive payments directly from global clients without relying on complex or unofficial workarounds.

2. Small Businesses and Merchants
Business owners selling products or services online can accept PayPal payments from international customers and then settle those funds locally through Paga.

3. International Shoppers
Consumers will be able to use dollars in their PayPal accounts to shop at stores around the world that accept PayPal.

4. Nigerians in the Diaspora
Families and friends abroad can send money home more easily and cheaply, with transfers going into PayPal and then to Paga for withdrawal in naira.

What This Means for Nigeria’s Digital Economy

Experts say this partnership could help bring more dollars into Nigeria’s formal financial system, supporting liquidity and strengthening the naira. It also shows that global payment platforms are now willing to work closely with local fintech players who understand the Nigerian market.

After years of being left out of inbound PayPal payments, Nigeria’s freelancers, businesses and everyday internet users can now participate more fully in the global digital economy — with PayPal and Paga helping bridge the gap between local needs and international opportunities.