Local big four financial business First National Bank (FNB) will soon release the details of its discussions with international online payment solution, PayPal.
News that the companies were in discussions to bring the popular payment solution to SA broke last month, when a possible insider revealed the information on micro-blogging service Twitter. ITWeb subsequently confirmed discussions were under way.
FNB has now announced it will host a media briefing to explain how the deal will be hashed out in the local context. The briefing will be headed by FNB's CEO, Michael Jordaan, and PayPal executives are expected to attend.
The deal could have significant impact on the way South Africans do business online, and how consumers pay for products in SA's e-commerce arena. It will also have an impact on local companies that have developed their own online payment solutions.
One of the more popular online payment solutions is the ability to make online payments using an electronic transfer, such as locally developed POLi. Other similar solutions, imported from other countries, which have become popular, may also find it hard to compete with the international giant.
The deal between PayPal and FNB will come as no surprise to industry watchers, since the banks have been mulling new ways to access Internet-based solutions for years.
Nedbank has also indicated it will look into a similar deal; however, it states it will not be with PayPal. No other details about Nedbank's plans have yet been revealed.
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