© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

From E-commerceto Omni-channelFrancis Barel,

Business Development Manager,

Middle East & North Africa

June 4th, 2014

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

CommerceCommerce

$10 trillion$10 trillion

mobilemobile

OnlineCommerce

$1 trillion$1 trillion

The opportunity

ahead is huge

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

e-commerce is booming in the Middle East, doubling over 6 years

3Source: PayPal Insights Report 2013

2013

11.2 bn

2012

9.0 bn

2011

7.0 bn

2014 2015

15.0 bn12.8 bn

2x growth from 2011 to 2015X2

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary. 4

m-commerce in MENA is expected to represent 20% of the market in 2015

Source: PayPal Insights Report 2013

6x growth from 2011 to 2015X6

0.9 bn

2011

0.5 bn

2014

3.0 bn

1.8 bn

2013

1.3 bn

2012 2015

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

e-commerce in the GCC is also at an all-time high, with travel leading the way

5Source: PayPal Insights Report 2013

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary. 6

5%

15%

80%

15%

25%

60%Cash on Delivery

Payment cards

20152012

Payment methods for e‐commerce in the Middle East

Source: PayPal Insights Report 2013

Cash on Delivery represents a high part of online sales but is not a fatality!

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

People are changing their behavior

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Will showrooming kill businesses?

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Reverse Showrooming is actually more common than Showrooming

Source: Harris Poll 2013, Business Insider

46% Showroomers

69% Reverse Showroomers

% Of Americans in 2013

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary. 10

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary. 11

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

PayPal is expanding into new fast-growing markets

12

Russia

Japan

Brazil

ChinaIndia

MENA

56%of PayPal’s Q1,

2014 Revenue is non-US

>1 BillionPeople we don’t

serve yet

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Egyptians can now use PayPal !

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

More merchants propose PayPal in the region and to visitors !

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary. 15

We’re making e-commerce easier with bank partners

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And soon… the PayPal experience in Arabic

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PayPal has unmatched competitive advantages

148m active digital wallets in the Cloud

Deep relationships

& data

Core competency

in risk

Global platform w/t huge

momentum

© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.

For more information, please contact:

PayPal MENA teammena@paypal.com