Apple Pay Headed to India Next Month with Axis Bank
Apple Pay is expected to launch in India next month, beginning with credit cards issued by Axis Bank, according to reports from Reuters. Three individuals familiar with the plans shared this information.
The service will expand to other lenders through individual bank agreements, following a pattern Apple has used in other markets. Reuters reported this on September 18th. Talks have also taken place between Apple and HDFC Bank and ICICI Bank, two larger card issuers, but commercial terms have not been finalized with either.
Axis Bank is India's fourth-largest credit card issuer, with 16.26 million active cards as of July, according to the report. The launch marks a significant step as Apple enters a market where card usage has largely declined.
The change in momentum is attributed to new regulatory directives from the Reserve Bank of India (RBI) allowing card issuers to offer customers various authentication factors, including device-native biometrics. This enables Face ID or Touch ID to authorize payments on Indian bank cards, which was previously a barrier for Apple Pay's entry.
The commercial viability has also improved. Apple's market share in India has doubled to 8% since 2022, targeting a significant customer base among premium cardholders.
Apple has successfully rolled out this strategy in various markets, negotiating terms privately with each issuer. However, they have not publicly announced a launch date.