Full access to PayPal soon

August 5, 2015

According to the Information and Communication Technology Agency (ICTA) CEO Muhunthan Canagey, his agency is currently in the process of initiating a broad payment platform where all local banks will be on board.

“Yes, it’s going to be opened. But what we want to make sure is that the local financial institutions become a part of it before it gets off the ground,” said Canagey.

While users from Sri Lanka are able to pay sellers in other countries for their purchases via the service, PayPal had barred Sri Lankans from receiving payments due to both the size of the Sri Lankan economy and the unavailability of data about Lankan markets.

Speaking at the Sri Lanka Economic Summit organized by the Ceylon Chamber of Commerce under the theme, ‘The power of social media for exports’, Canagey emphasized they were committed in creating financial and social inclusivity through the platform.

It was previous Central Bank Governor Ajith Nivard Cabraal who announced that the government was planning to allow inward payments through PayPal, though it never took off ground.

PayPal will open an integral avenue for the startups and the small and medium scale enterprises to take their products to the global markets while receiving payments online, providing the much needed boost for country’s exports.

The PayPal service allows e-commerce merchants to receive payments for their goods from across the globe in return for a 1.9-2.2 percent commission for each transaction.

In the absence of a payment gateway, a handful of Sri Lankan banks had set up their very own Internet payment portals, charging exorbitant annual rental fees in addition to over 3 percent in commissions, neglecting all but a select number of clientele.

Senior Vice President/General Manager and Head of Digital at Virtusa, Madu Ratnayake said the social technology will mostly enable the entrepreneurs to reach scale and in turn will help achieving the US $ 50 billion export target.

Sourced By : www.dailymirror.lk