PayPal today announced that it would be available for domestic payments in India. The service has already been available in India for cross-border transactions, but starting today Indian customers can use PayPal in transactions with certain major domestic merchants.

These merchants include movie ticket company BookMyShow, travel site Makemytrip, Yatra, and PVR.

Back in August, PayPal set up innovation labs in India to explore growth in areas like artificial intelligence, virtual reality, and the Internet of Things.

With a massive population and strong mobile penetration, India has become a leading market in the digital payments space.

Recently, Google released a mobile payment service in the country called Google Tez. The service now has upwards of 7.5 million users, according to company CEO Sundar Pichai during Google’s third quarter earnings report.

The launch of apps such as Google Tez, and now PayPal’s capabilities are all part of the Indian government initiative “Make in India” which encourages national and multi-national companies to manufacture products and technology within the country.

Read more at Finextra and NDTV Gadgets.