Is Apple Pay available in India/does Apple Pay work in India?

02 Feb 2023

No, Apple Pay isn’t available in India. India is one of the countries with a large number of iPhone users. Apple Pay is a contactless payment mechanism used by Apple users in countries such as France, Italy, Hong Kong, Japan, the United Kingdom, the United States, Russia, Taiwan, and Switzerland. The same cannot be said for Indian users.

3 Major Reasons Why Apple Pay is not available in India

Apple previously stated that Apple Pay would be UPI-based and would offer contactless payment services across the country. However, certain regulatory roadblocks in India have caused Apple to take a step back, and the technology company is waiting to see how these roadblocks develop.

1. Data storage on-site

In 2018, the RBI announced that all payment systems should store Indians' data in India for improved security and safety. Apple was planning to launch a UPI-based payment system in India at the time. However, in order to do so, the company needed to partner with an Indian company or set up storage facilities in India.

The NPCI only accepts biometrics and data that have been validated by UIDAI, a government agency, whereas Apple stores data within the device via Face ID and Touch ID, which cannot be validated with an external database. This is one of the primary reasons why Apple Pay is not available in India.

2. UPI Integration

Apple Pay is a contactless payment method. This eliminates the need for a PIN or OTP. To access the payment, all users need is fingerprint authorization. However, in India, the NPCI has made a 4- or 6-digit PIN required to authorize payments, and no biometric-access payments are currently permitted.

That means Apple would be forced to rely heavily on its banking partners, which may not be ideal. Another reason Apple Pay is not available in India.

3. A highly competitive digital payment environment

India's digital payment market is at its peak. With different payment options such as Google Pay, PhonePe, and Paytm already dominating the market, Apple Pay faces some stiff competition due to its late entry.

Apple would have to spend a lot of money to build a strong customer base. Furthermore, users do not like to switch payment methods frequently. This is yet another challenge for Apple and provides an answer to the question of why Apple Pay is not available in India.