Apple is preparing to launch Apple Pay in India, marking a significant expansion into one of the world’s fastest-growing digital payments markets. The company is currently in discussions with major Indian banks – ICICI Bank, HDFC Bank, and Axis Bank – as well as global payment networks Visa and Mastercard, according to reports from Bloomberg and PYMNTS.com.
The move comes as Apple seeks to bolster its presence in India, a strategically important market where it has been steadily increasing its manufacturing footprint and retail presence. Last year, Apple began sourcing iPhones from India to mitigate the costs associated with tariffs on goods shipped from China. The company recently opened its sixth retail store in Mumbai on .
India’s digital payments landscape is currently dominated by the Unified Payments Interface (UPI), a state-backed system that allows for instant money transfers and bill payments. Apple Pay is expected to integrate with UPI, enabling Indian consumers to use the service alongside existing card-based payment options. This integration is crucial for Apple Pay to gain traction in a market where UPI handles a vast majority of digital transactions.
The timing of this launch is particularly favorable for Apple. The company recorded its highest quarterly iPhone shipments in India during Q3 2025, reaching 5 million units and securing fourth place in the market, according to data from IDC. This growth, coupled with the expanding Indian middle class, presents a substantial opportunity for Apple Pay to capture a significant share of the digital wallet market.
However, Apple Pay will face stiff competition from established players in India. Google Pay, PhonePe (backed by Walmart), Amazon, and Paytm already have a strong foothold in the market. Successfully navigating this competitive landscape will require Apple to leverage its brand recognition and focus on providing a seamless and secure user experience.
The Indian government has recently introduced regulations that support the adoption of biometric authentication methods like Touch ID and Face ID for digital payments. Previously, digital payments in India relied heavily on one-time passwords sent via SMS, a less secure and less convenient method. These new rules create a more favorable environment for Apple Pay, which heavily relies on biometric security features.
Apple Pay’s expansion into India follows a report last month from Moneycontrol indicating that Apple was already in talks with card networks and regulators regarding the launch. The company has been working to secure the necessary approvals and commercial agreements to facilitate the rollout, which is anticipated to begin sometime in the middle of .
While Apple Pay has seen increased usage globally, particularly in physical stores in the U.S. – with usage doubling in the last year – it still represents a relatively small percentage of eligible transactions. PYMNTS Intelligence reports that Apple Pay accounts for just 10% of eligible in-store purchases and under 5% of overall transactions in the U.S. The platform faces increasing competition from rivals like Google Pay, PayPal, and Cash App, all of which are experiencing rapid growth.
Recent data indicates that while Apple Pay’s total sales volume has grown from $268 billion to $450 billion, competitors are gaining ground. Google Pay usage has more than doubled, and PayPal and Cash App have nearly doubled their in-store usage during the same period. This highlights the dynamic nature of the mobile wallet market and the importance of continuous innovation and adaptation for Apple to maintain its competitive edge.
The launch of Apple Pay in India represents a strategic move for Apple, aligning with its broader efforts to expand its global reach and capitalize on the growth of digital payments in emerging markets. The success of Apple Pay in India will depend on its ability to integrate seamlessly with UPI, compete effectively with existing players, and provide a secure and user-friendly experience for Indian consumers.
