What does 'Il n'y a pas de quoi' mean?

The sentence 'Il n'y a pas de quoi' means You're welcome. In the Word-by-Word translation, the Word 'il' means 'he, it'. The adverb 'ne...pas' means 'not'. The adverb 'y' means 'there'. The verb 'a' means '[he/she/it] has'. The preposition 'de' means 'from, of'. And the relative pronoun means 'what'.

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It translates loosely to "It's nothing" and is often used as a way of saying "You're welcome."