PayPal Soon to Operate in Bangladesh to Connect Small Entrepreneurs to Global Markets: BB Governor

Global digital payment service PayPal plans to begin operations in Bangladesh soon, aiming to connect small entrepreneurs with international markets, Bangladesh Bank Governor Ahsan H Mansur said on Tuesday (2 December).

He stated, “The international digital payment platform PayPal wants to do business in Bangladesh. Through PayPal, our small entrepreneurs will be able to sell products and receive payments from international markets more easily.”

The governor made the remarks during the Agro Award 2025 ceremony, organised by Standard Chartered Bank and Channel i at the InterContinental Hotel in Dhaka. He added that small entrepreneurs cannot follow the Letter of Credit (LC) procedures through banks for small consignments, limiting their ability to trade internationally.

He noted, “Through this new international payment platform, they will be able to send products to various countries, including Europe and America. Currently, the absence of such a platform causes many people in outsourcing sectors to face difficulties in receiving international payments, and in many cases, they do not receive payment at all.”

PayPal is a global digital payment service allowing users to send and receive money online, pay bills, and make international purchases. The platform securely links with a user’s bank account or card to complete transactions swiftly. It offers buyer and seller protection along with refund facilities and is widely used across over 200 countries for freelancers, online businesses, and international transactions.

At the event, Standard Chartered Bank and Channel i awarded eight individuals and three organisations for special contributions to agriculture, selecting winners from over 500 applications.

Regarding cash transactions, the governor said, “These are at the root of corruption in the country. Wherever there is corruption, there you will find cash transactions. Currently, around Tk 20,000 crore is spent annually on cash handling. We want to gradually reduce cash transactions.”

On agricultural loans, he said, “Currently, agricultural loans account for only 2% of total loans in the country. To develop the sector, this should increase to 10%.” He noted that Bangladesh Bank has a fund of Tk 25,000 crore for SME loans, which is underutilised due to the lack of bank capacity. “If there is will, much can be done, as demonstrated by today’s award winners.”

Speaking on food grain production, the governor said, “After independence in 1971, the country produced 1.3 crore tonnes of food grains. Now production is nearly 4 crore tonnes, more than triple. While the population has slightly more than doubled, productivity has risen over threefold. This achievement should not be underestimated.”

Table: PayPal and Agricultural & Cash Transaction Facts

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