U.S. online payments company announced that it is suspending business operations in Turkey effective June 6, http://techcrunch.com/ reported.

The decision came after the company failed to get a license. Spokesperson for the company told the website that their application for a Turkish payments license has been denied by the local financial regulator “and we have been instructed to suspend our Turkish business operations.”

Turkey explained the move as a result of new rules that require IT systems to be localized in the country.

According to the company, this decision will affect tens of thousands of businesses and hundreds of thousands of consumers.