What PayPal's new partnership with Qatar National Bank means for online shoppers
After opening
in Egypt this March,
PayPal is continuing its expansion throughout the Middle East,
announcing a new partnership with Qatar National Bank.
The partnership, PayPal’s first with a bank in the region, will
enable Qatar National Bank to offer its retail customers new
services for secure online purchases, such as the ability to link
their QNB credit or debit card to PayPal and begin shopping on
e-commerce sites around the globe.
QNB retail customers will also be able to top up their PayPal
accounts from their QNB bank account, and send money to any email
address through the QNB website.
This last functionality, which is distinct from PayPal's money
transfer services, is potentially exciting for those looking
to send money abroad. QNB customers will be able to sign in to
their online banking platform and send money directly from their
bank account to any recipient with a PayPal account.
Currently, consumers are able to use the QNB platform to shop
online; while merchant accounts on PayPal are activated in Qatar,
they are not linked to the QNB platform. When asked if this
partnership marks a step towards enabling online merchants to
withdraw revenues from their PayPal accounts directly to local
credit cards or bank accounts in Qatar, Ghanem replied, “This is
the first step in a longterm strategic partnership, and many other
functionalities and new services will be enabled in the month to
come.”
In the press release, both Ghanem and Ali Rashid Al
Mohannadi, the Executive General Manager and Chief Operating
Officer at QNB, stress the fact that the platform will allow the
bank’s clients to shop using via mobile phone. With smartphone
penetration reaching an
estimated 75% as of early 2012, the market is ripe for an
increase in mobile banking and e-commerce use, as consumers find
trustworthy online platforms.
“PayPal is trusted throughout the world to enable millions of
consumers to shop safely and conveniently online and through their
mobile phone each day,” Mohannadi said in a statement. “This
agreement allows our customers to enjoy greater flexibility and
security when making online purchases with PayPal.”
“QNB is the leading bank in Qatar and we are truly excited by
signing our first bank partnership in MENA with QNB,” Ghanem said
in a statement. “This partnership is a major milestone on our
exciting journey in the Middle East and North Africa, to enable
global e-commerce across the region by offering consumers and
merchants a safe and easy way to buy and sell online and through
their smart phones.”