India has become the twelfth market to receive Samsung’s mobile payments service.
Samsung Pay was first launched in the US and its home market of South Korea in 2015, and comes to India amid a nationwide government push to encourage adoption of digital payments in order to reduce cash dependency.
The service can be used across the gamut of Samsung’s handsets, and is compatible with the Indian government’s United Payment Interface as well as other mobile wallet applications, including the widely used Paytm. This integration will allow it to offer person-to-person money transfers, as access to the UPI will enable transfers to accounts held with traditional banks.
Samsung Pay will operate via NFC and Magnetic Secure Transmission – which is an approximation of the process of swiping a typical debit or credit card – in order to maximise its compatibility with the point of sale terminals that are currently in use across India.
At launch, Samsung is partnering with American Express, Axis Bank, HDFC Bank, ICICI Bank, MasterCard, SBI Cards, Standard Chartered Bank, and Visa. Citibank India will also adopt the system shortly after launch.
HC Hong, president and CEO of Samsung Southwest Asia, said: “Samsung Pay is an example of how we continue to push the boundaries of innovations to make life simpler and better for consumers. I am confident Samsung Pay will redefine digital payments and contribute to Digital India.”