Apple is gearing up to introduce Apple Pay in India, according to a recent report. The company is in talks with three Indian banks to bring its popular mobile payment service to the country later this year. This move could significantly expand Apple’s footprint in India, building on its existing hardware sales and ecosystem loyalty.

Why India Is a Key Market for Apple Pay

India’s digital payments scene is booming, making it an attractive market for Apple. Digital wallets now account for over a third of global consumer spending and are projected to reach around $28 trillion in value by 2030. Apple Pay is already the leading mobile payment system outside China, where Alipay and WeChat Pay dominate.

With India’s economy growing rapidly, the country’s payments market is also expanding. This year, digital transactions in India are expected to reach about $10 trillion, and the overall fintech market could hit $421 billion by 2028. The digital payments market alone was valued at around $6.83 billion in 2025 and is expected to surpass $33 billion by 2034. These numbers highlight why Apple wants to get involved now.

Apple’s Growth and Loyalty in India

Apple’s strategy in India is to leverage its loyal customer base and strong hardware sales. The iPhone now holds a 10% share of India’s smartphone market and is considered a premium device. The introduction of Apple Pay could encourage more Indian consumers to buy Apple products, especially high-end devices, to access the new payment service.

Moreover, Apple’s services tend to support each other. As iPhone sales grow in India, more users will likely adopt Apple Pay. This, in turn, benefits merchants and payment processors that support Apple’s standard, creating a positive cycle of adoption and sales.

Small businesses in India may also see opportunities. They could start accepting mobile and card payments using second-hand or older iPhones, which could boost hardware sales further. All of this points to a strategic move that could strengthen Apple’s position in India’s expanding market.

Challenges and Regulatory Hurdles

However, there are some obstacles. Currently, Apple Pay does not support Indian debit or credit cards directly in its Wallet app. This is due to regulatory restrictions, even though iPhones support NFC technology for contactless payments.

India’s payments landscape is largely dominated by the Unified Payments Interface (UPI), managed by the National Payments Corporation of India. For Apple Pay to succeed, it will likely need to integrate with UPI to enable seamless transactions using local bank accounts and cards.

Until then, Apple may face hurdles in fully launching its service. Finding a way to work with UPI and navigate Indian regulations will be key steps in bringing Apple Pay to Indian consumers and merchants.

Inspired by

• https://www.computerworld.com/article/4138661/why-apple-is-ready-to-launch-apple-pay-in-india.html

Sources

• apple.com
• indiatimes.com
• straitsresearch.com
• applemust.com
• applemust.com