For Indian Paypal™ users, there is some news. If you wish to withdraw money from Paypal to your Indian bank account you should read the following articles:
Labnol article (much better than the official Paypal blog’s article)
In addition, you also need to enter your PAN number and mobile number in your Paypal account in order to be able to withdraw money to your bank. Right now I am skipping it by clicking on the "Help" link at the top and then clicking on the link that takes directly to my account. So far so good. Let us see…
Disclaimer: I have not tried any of the techniques mentioned in the above articles and therefore cannot attest to the veracity of the content therein.