Internet payment system PayPal is linking up with Russian Post to broaden its appeal in Russia.
Russian Post is to issue debit cards tied to a PayPal account, allowing Russians to withdraw money, or use it to pay for postal services or goods in shops, reports Kommersant Daily.
Owners of the new cards will also be able to withdraw money from ATMs. Russian Post aims to issue up to 200,000 cards a year.
PayPal entered the Russian market in 2006, allowing Russians to register for its services provided they had an account with a US Bank. Last year the company widened its operations by allowing Russian subscribers to pay money into their accounts, opening up their ability to use the e-Bay auction site. PayPal is owned by e-Bay.
PayPal expects the Russian Post network to help it expand in the country, and the company sees Russia as ‘one of the most interesting regions’ in its system.