Apple is reportedly preparing to launch Apple Pay in India with Axis Bank credit cards, while talks with HDFC Bank and ICICI Bank are still ongoing.
Apple is preparing to launch Apple Pay in India as early as October, with Axis Bank expected to become the service’s first banking partner in the country.
Three people familiar with the plans told Reuters that the initial rollout is expected to support Axis Bank credit cards. Apple is also in discussions with HDFC Bank and ICICI Bank, although commercial agreements with those lenders have not yet been finalized.
The launch would bring Apple’s contactless payment service to one of the world’s largest digital payment markets and one of the major economies where Apple Pay has yet to officially launch.
How Apple Pay Will Work in India
Apple Pay allows users to add compatible payment cards to the Wallet app on an iPhone or Apple Watch and use the device for contactless purchases.
Transactions can be authenticated through Face ID, Touch ID, or the device passcode, depending on the Apple device being used.
Instead of sharing the actual card number with merchants, Apple Pay uses tokenised payment credentials. This means the user’s underlying card details are not directly provided to the merchant during a transaction.
Apple’s rollout in India is expected to follow a phased approach, with additional banks potentially added through separate agreements.
Apple Pay Enters a Market Dominated by UPI
Apple Pay will enter an Indian payments ecosystem that is already heavily dominated by UPI.
According to Reuters, UPI accounts for around 84% of India’s digital transaction volume. The payment system processed 24.51 billion transactions worth ₹29.82 trillion in August alone, highlighting the scale of India’s existing digital payments infrastructure.
Apple’s initial Apple Pay rollout is therefore entering a market where consumers are already accustomed to QR codes, mobile-based payments and UPI apps.
The service could nevertheless appeal to iPhone and Apple Watch users who want a native contactless card-payment experience through Apple’s devices.
India’s recent regulatory changes could also support the rollout. The Reserve Bank of India has allowed biometric authentication for card payments, which can make device-based authentication more convenient for users.
Axis Bank Expected to Lead the Initial Rollout
Axis Bank is expected to be the first major Indian bank to support Apple Pay when the service launches.
The bank had approximately 16.26 million active credit cards as of July, according to Reserve Bank of India data cited by Reuters.
Apple is also negotiating with HDFC Bank and ICICI Bank. However, those discussions are still ongoing, meaning their cards may not be available when Apple Pay initially launches.
The phased approach would allow Apple to establish the service with an initial banking partner before expanding its network.
Apple Has Been Growing Its India Footprint
The potential Apple Pay launch comes as Apple continues to increase its presence in India.
Reuters cited Counterpoint Research data showing Apple’s share of India’s smartphone market had reached 8%, up from 4% in 2022.
Apple is also increasing the importance of India within its global iPhone manufacturing network.
A Ministry of Electronics and Information Technology official said in August that India’s share of global iPhone production could rise from around 25% currently to 30% to 35% within the next five years. Annual iPhone production value in India could increase from roughly $25 billion in FY26 to $40 billion to $45 billion by FY31.
The government has also introduced a ₹62,500 crore Mobile Phone Manufacturing Scheme covering the next five years, aimed at expanding mobile-phone production and strengthening the domestic manufacturing ecosystem.
Apple Pay Launch Date and Supported Banks Are Not Yet Official
Despite reports pointing to an October launch, Apple has not officially announced the Apple Pay launch date for India.
The initial reports indicate that Axis Bank credit cards are expected to be supported first, while discussions with HDFC Bank and ICICI Bank remain underway.
Apple’s eventual rollout would give Indian iPhone and Apple Watch users access to the company’s established contactless payment system while adding another payment option to a market already dominated by UPI.
For now, the October timeline and initial banking lineup remain subject to Apple’s formal announcement.
Source: Startup Talky
