PayPal to launch services in Maldives next year

Government on Tuesday announced that its services will be launched in Maldives next year through a partnership with Ooredoo Fintech.

The Economic Ministry said in a statement that this development is one of the key objectives in advancing the country’s digital technology sector.

Ooredoo stated that the PayPal service will allow international businesses that accept PayPal to make payments, while Maldivian businesses will be able to sell goods to foreign customers. The company added that money transfers between PayPal and Ooredoo M-Money accounts will also be possible.

“This is a significant step in Maldives’s progress towards a digital economy,” Ooredoo said.

The Economic Ministry noted that the government prioritises the introduction of services using the latest technology. It said that increasing economic activity through the digital and creative economy is one of President Mohamed Muizzu’s main goals.

According to the ministry, PayPal’s entry will help Maldivian businesses, freelancers, and content creators participate in the global digital economy. It added that while the launch of such services involves meeting multiple requirements, Maldives has faced challenges in accessing such international platforms in the past.

The government has worked with relevant authorities for over two years to facilitate the introduction of PayPal. The ministry described the move as a major step in strengthening the financial system and enabling innovative digital solutions.

Economic Minister Mohamed Saeed had stated in August last year that a proposal had been submitted to PayPal to bring the service to Maldives.

In June, the Maldives Monetary Authority (MMA) said it held discussions with PayPal’s regional office between 2020 and 2021 after public feedback indicated sufficient demand for the service. However, the MMA noted that PayPal’s earlier decision not to launch in Maldives was based on business considerations rather than legal restrictions.