Paypal on February 6th, 2021 announced on their public statement that " effective 1 April 2021, PayPal will no longer offer domestic payment services in India. As a result of this, you will not be able to receive INR payments from other PayPal Payments Private Limited users. As stated above, this has no impact on PayPal’s international services, and you can continue to send and receive international payments"
As derived from the Paypal statement we can assume that they had come to this conclusion due to various factors. You can read more on the latest news around the Paypal over past few years via this link also UPI payment in India had become very common and we don't see that PayPal have much interest in UPI payment mode practice,
Paypal has been a trustworthy and best Pal for businesses and individuals over India, They had sent a detailed announcement to all Paypal Users in India via email as shown in the below image.
 |
| Paypal Email Announcement |
As per Paypal Statement, they stated that they are shutting down the Domestic payment to concentrate more on International Cross Border Payment. And due to this service shutdown which gets effective from April 1st, 2021, the users in India cant make payments in INR( Indian Rupees) or receive payments to your Paypal account in INR.
Will these Decisions affect your business?
We can say that if you use Paypal just to accept payments in INR, then it will affect your business, but if you are using Paypal as a cross-border gateway to collect payments globally, then no issues as it works like a charm.
We had also seen that Paypal has been working very hard over the past months on providing Offers and promotions to increase the footprint over the Indian Merchants.
One of the Paypal Promotions
Paypal has been powering transactions to various platforms including Swiggy, MakeMyTrip, etc, and they have been working more to power the transactions over the Travel Industry.
And the other Payment Providers in India like Paytm, Google Pay, Phonepe also CCAvenue, etc are working to increase their market share over the competent Indian Market.