Digital payments provider PayPal has recently introduced an automated process to obtain monthly foreign inward remittance advice (FIRA).
- FIRA allows Indian merchants to download their monthly digital FIRA issued by banks.
- The initiatives at zero cost are aimed to empower Indian MSME exporters to seamlessly grow their business internationally.
- It is a document that acts as a proof for all the payments and inward remittances from a foreign country.
- It is issued by banks in India.
- The exporters of all sizes have to get this.
What has PayPal done?
- Earlier, the Indian seller and freelancers had to send manual requests for FIRA to PayPal’s partner bank.
- They also had to pay a fee for such services offered by the banks.
- The bank partners would then issue a physical statement on FIRA.
- The physical statement not only took ten days but it also required the seller to visit the bank to collect the same.
- Now this process has been digitized making it simple.
- This step is a part of PayPal’s mission to reach net zero emissions by 2040.
- Digital FIRA solution of PayPal will allow merchants to directly download FIRA from their PayPal account.
- The process is completely automated.
- The PayPal merchants can now download their monthly FIRA at zero-cost by simply logging into their PayPal account.
- It completely removes the paperwork.
- It saves time, resources, and friction.
- It also eliminates the need to visit branches, lowering the risk of infection with COVID-19.
- The sellers will be notified via an email once the FIRA is made available.
- The simplified process also enables Indian sellers to apply for bill closure and get tax benefits at a much faster rate.
- This has been introduced to empower the Indian MSME exporters to seamlessly grow their business internationally.
- At present, small exporters in India are accessing more than 200 markets reaching out to 350 million consumers through PayPal. This happened after COVID crisis.
- Around Rs 10,000 crores of exports transactions were held through PayPal.
- It is an American company operating online payments.
- PayPal was founded in December of 1998 under the name “Confinity”.
- In 2000, it merged with X.com and soon became an online money transfer company with the current name, PayPal.
- PayPal is headquartered in San Jose, California, USA.
- It is a leading online payment service provider in the world.
- The digital payment company offers a range of payment services and solutions for both individuals and businesses.
- It has 48 central offices across 27 countries.
- In October 2002, eBay, an online shopping platform best known for its auctions and popular with online merchants acquired PayPal.
- This partnership enabled buyers/sellers on eBay to send and receive payments securely and more efficiently than money orders or checks.
- In 2015, it spun from eBay and became a public traded company, PayPal Holdings, Inc. PYPL.