I am also facing the same problem with SBI MasterCard Global. Although I have succesfully added and verified my debit cards(a BOI International Debit card, which also failed) but when any merchant website redirects to Paypal during checkout, I enter CVV, confirm the recieved OTP, the payment fails, saying "Sorry, but your mastercard x-XXXX was declined. you can complete your purchase with the funding source selected, or choose another way to pay.". I can see on SMS and online statement, that my balance gets debited but also gets credited back by "REVERSE POS PUR".
Surprisingly that card worked on Aliexpress.
I had to send some SMS by my registered phone number to enable certain facilities for e-commerce, POS and international payments also one can enable online or SBI's app. But in the end I still could not get it working.
I applied for the card through SBI's net banking facility onlinesbi.com, and there were options for MasterCard and Visa. Still I opted for MasterCard as it was suggested by a friend that it works flawlessly for overseas payments.
Following this incident some online research led me to find sources who confirmed that SBI Visa Global debit card works on PayPal and not MasterCard Global!(although both are EMV chip based cards!) This really upset me. There is no workaround. I applied for Visa Global again which I am awaiting delivery. I will update once recieved.
The sources which I have checked:
https://www.techmesto.com/indian-debit-card-paypal-google-wallet/
https://www.isaumya.com/paypal-google-wallet-indian-debit-card-support/
https://www.quora.com/Do-SBI-Visa-debit-cards-allow-PayPal-transactions/ (perhaps the 2nd answer)
