Apple Pay Set to Launch in India by October, Lacking UPI Support
Apple Pay is expected to launch in India by October, initially supporting only Visa and Mastercard credit cards and excluding UPI. The broader rollout hinges on regulatory approvals and bank partnerships.
Apple Pay is slated for an October launch in India, but will initially exclude support for the nation's ubiquitous Unified Payments Interface (UPI) system, according to reports. The service will launch with support for Visa and Mastercard credit cards, focusing on NFC-based contactless payments and online transactions.
The exclusion of UPI at launch is attributed to Apple's pending approvals from the National Payments Corporation of India (NPCI) and the need to establish a sponsor bank partnership for transaction routing. This limitation means Apple Pay's initial reach will be narrower than that of free, widely adopted UPI applications.
Negotiations are ongoing with Indian banks, including HDFC Bank, ICICI Bank, and Axis Bank, regarding interchange fees. Apple is reportedly seeking a fee of 15-20 basis points per transaction, while banks have proposed around 10 basis points. This fee would be absorbed from existing bank interchange revenue.
The upcoming Apple Pay launch coincides with Apple's recent decision to resume accepting Visa and Mastercard credit cards for Apple Account purchases in India. This move, effective July 2026, ends a four-year suspension and allows direct payments for subscriptions and App Store purchases, bypassing previous reliance on UPI or Apple Account balances.