It does.
When you set the output to PAL, it is still 50Hz refresh rate - even though it may be scan doubled from ~15K to ~31K line frequency.
Many monitors will not sync down to this on the VGA input.
My TV for example will accept this on the SCART input (15K) or on the HDMI input, but not the VGA.
NTSC(60Hz) is fine on the VGA, as it 720p60 (1280x720) which is my new fav output standard.
/MikeJ