PayPal, officially known as PayPal Holdings Inc., is a well-known American company that has completely changed the way online payments work around the world. Founded back in 1998 under the name Confinity by Max Levchin, Peter Thiel, and Luke Nosek, the company initially started off building security software. But after a few dead ends, the team pivoted toward something much more useful — a smooth, secure way to transfer money digitally.
This pivot gave birth to what we now know as PayPal.
In 2000, PayPal merged with X.com, an online banking startup founded by none other than Elon Musk. That partnership helped push PayPal into the spotlight, and by 2002, it went public. Today, it’s active in over 200 countries, supports more than 25 currencies, and connects more than 300 million users globally — making online payments quick and easy regardless of borders or language.
But what about Pakistan?
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Can You Use PayPal in Pakistan?
As of June 2025, the short answer remains: No — PayPal is still not officially available in Pakistan. And yes, that’s frustrating, especially for freelancers and small business owners who could really use the platform to receive international payments.
There are a few reasons why Pakistan continues to be left out of PayPal’s global map — mainly strict financial regulations, inconsistent banking systems, and concerns over security and fraud. PayPal has shown interest in the market before, but nothing has materialized.
So while millions of Pakistanis would love to use PayPal, it just hasn’t happened yet.
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Are There Workarounds? Should You Trust Them?
You might have come across services or individuals claiming they can create PayPal accounts on your behalf from abroad. But let’s be real — it’s risky. Many of these accounts are made using fake or borrowed information, which could get frozen or banned at any moment. That means losing your hard-earned money without warning.
If you’re freelancing or doing online business, it’s smarter and safer to go with legit alternatives that are already operating in Pakistan.
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The Best PayPal Alternatives in Pakistan (2025 Edition)
Good news: There are reliable options out there. In fact, Pakistan’s freelancing scene is booming — it now ranks #4 among the top 10 freelance markets worldwide. That’s pushed many global payment services to expand their reach here.
1. Payoneer
Payoneer is one of the most trusted platforms for Pakistani freelancers and digital entrepreneurs. It launched in 2005 and has since partnered with banks like Standard Chartered, MCB, and Faysal Bank in Pakistan.
Once you register and verify your account, you can receive payments from international clients and withdraw your funds through ATMs or bank transfers. Many platforms like Fiverr, Upwork, and Amazon already support Payoneer.
2. Skrill
Previously known as Moneybookers, Skrill offers a digital wallet service that works similarly to Payoneer. You can receive international payments and withdraw funds into your local bank account. Skrill does charge small fees for withdrawals, so check their latest rates, but it’s still a solid option.
3. Xoom (By PayPal)
Here’s a twist — while PayPal itself doesn’t operate in Pakistan, its money transfer service Xoom actually does. You can use Xoom to send or receive money from over 70 countries, and it partners with banks like UBL for smooth transactions.
The transfer fee starts at around $4.99, and it’s considered reliable for receiving funds from friends, family, or clients.
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Final Thoughts
PayPal might still be out of reach for Pakistan in 2025, but that hasn’t stopped local freelancers and business owners from thriving. With tools like Payoneer, Skrill, and Xoom, you can still manage international payments smoothly and securely.
Until PayPal officially enters the market, your best bet is to work with what’s trusted, safe, and legal — and fortunately, you’ve got options.
