Apple Pay enters India in collaboration with Axis Bank, more lenders to join platform by year-end

New Delhi, Sep 30 (PTI) US technology major Apple has entered the Indian payments market with the launch of Apple Pay service in collaboration with Axis Bank with more banks in the fray to join the platform by year-end.

Apple users using iPhone, iPad, and Apple Watch can use it in India and overseas.

"India is home to a dynamic and digitally savvy population that continues to embrace a cashless future while expecting the highest standards of security and privacy, and we're so excited to bring Apple Pay to users in India today," said Jennifer Bailey, Apple's vice president of Apple Pay and Apple Wallet.

Apple will expand the Apple Pay Mac notebooks soon.

Customers with Axis Bank-issued Visa and Mastercard credit cards can add their cards to Apple Pay and use them at thousands of in-store and online merchants across India, as well as anywhere that accepts NFC transactions, Apple said in a statement.

"Apple does not retain transaction information that can be tied back to the user. Their transactions stay between the user, the merchant, and their bank or card issuer. If a user's iPhone is lost or stolen, they can use the Find My app to quickly locate, lock, or suspend payments from that device," the company said.

Apple Pay transactions can be carried out using NFC (Near Field Communication) technology and does not require cellular or wifi connection.

Apple devices users will be able to make payment at stores, in apps, and on the web without the need to key in PINs or use OTPs at checkout, the company said.

Apple Pay's entry into the India market is expected to intensify competition in the digital payments market where the majority of the transactions is dominated by UPI and companies like PhonePe, Google Pay, Paytm, etc.

"Apple Pay is in discussion with other banks as well. Some of them are expected to come onboard by the end of this year," a source tracking the development said.

Apple Pay banking partners pay the company a fee on a per-transaction basis and it is at the discretion of the partner if they want to pass on the cost to consumers.

Apple in a report earlier this year said Apple Pay has supported banking partners in eliminating financial fraud of about USD 1 billion in 2025 while generating more than USD 100 billion in incremental merchant sales globally mainly due to secured transactions carried out through its platform.

Apple has also been in discussion with unique ID Aadhaar custodian UIDAI and NPCI (National Payments Corporation of India) but there has been no conclusion yet.

Email query sent to Apple in this regard elicited no reply.

"Apple Pay is in discussion with other banks as well. Some of them are expected to come onboard by the end of this year," a source tracking the development said.

Apple said it has worked closely with Payment Service Providers (PSPs) like Cashfree, JusPay, Mswipe, Paytm, PayU, Pine Labs, Razorpay, Worldline, and more, to bring Apple Pay to their merchant networks in India, with even more merchants and apps coming over time.

"Apple Pay debuts in a digitally advanced payments market where UPI accounts for more than 80 per cent of digital-payment volume. It completes the Apple ecosystem experience, extending the tight integration of hardware and software into payments," CyberMedia Research (CMR), VP-Industry Research Group, Prabhu Ram said.

According to an Equirus Securities analysis, Digital payments to merchants rose 19.6 per cent year-on-year to Rs 11.73 lakh crore in July 2026, from Rs 9.80 lakh crore in the year-ago period.

UPI-P2M (person-to-merchant) spending stood at Rs 9.1 lakh crore in July 2026, accounting for 77.3 per cent of total digital payments to merchants, while credit card spends increased to Rs 2.08 lakh crore while debit card spends declined 0.8 per cent year-on-year.

Ram said Axis Bank is India's fourth-largest credit-card issuer with 16.23 million active cards and it is a meaningful starting point for Apple Pay.

"With India's credit-card base now above 122 million and contactless payments gaining traction, Apple Pay has a growing card ecosystem to tap into even as UPI continues to underpin everyday payment," he said.

Apple Pay users will be able to make payment at stores in India as well as on some of the e-commerce platforms.

At launch, Apple Pay will be accepted by millions of merchants across India, including at Apple Store locations, Blinkit, Chaayos, Comet, Croma, Interflora, Ixigo, Le15 Patisserie, Reliance brands, Tata 1mg, Zomato, and more.

Apple Pay is available in more than 90 countries and regions, and works with more than 11,000 bank and network partners worldwide.