The launch targets India’s feature phone population, estimated at more than 200 million people. It gives customers without smartphones another route to digital payments. PhonePe chief executive Sameer Nigam described the wider ambition as bringing another 300 million people into digital banking.

PhonePe has teamed up with handset brands Nokia, HMD, Lava and Itel to offer the service preloaded on new devices. This arrangement is intended to make getting started easier, particularly for rural customers. The report does not explain how owners of existing handsets can access it.

Customers can transfer money to other people and pay merchants through the service. Camera-equipped feature phones also support payments by scanning a merchant’s QR code. Account balance checks and access to past transactions are available on the handset, giving users more than a payment-only facility.

A voice-led AI support service helps customers activate the offering, with assistance available in English plus 12 Indian languages. PhonePe also plans to introduce bill payments, phone recharges and registration using Aadhaar. These additions are planned rather than described as currently available, and no rollout schedule has been stated.