Girocard gains app-based payment functions to rival digital wallets by 2027

Germany’s most widely used debit card, the Girocard, is set to gain new digital payment functions inside merchant apps, a move designed to keep pace with the rapid shift toward cashless transactions. The announcement, reported on Wednesday by *Handelsblatt* and *Tagesspiegel* , will allow consumers to link their Girocard directly to retailer apps for in-app purchases, eliminating the need for separate payment methods such as credit cards or third-party wallets.

The integration is scheduled to roll out in phases, with pilot programs expected to begin later this year. Full nationwide availability is not expected until mid-2027, according to industry insiders cited by the reports. The delay reflects the technical complexity of embedding Girocard’s EMV chip and PIN infrastructure into mobile platforms while maintaining compliance with Germany’s strict banking and data-protection regulations.

Girocard, issued by the German banking industry and used in more than 90 million transactions daily, has long dominated in-store payments but has lagged in the digital sphere. Competing solutions such as Apple Pay and PayPal have captured a growing share of online and mobile commerce. The new app-based option is intended to close that gap by letting consumers pay with the same card they already carry in their wallets.

Retailers have welcomed the initiative, which promises lower transaction fees compared with international card networks. “For merchants, this reduces dependency on costly credit-card rails and keeps more revenue within the German payment ecosystem,” said a spokesperson for the German Retail Association, speaking on condition of anonymity. Consumer advocates, however, have raised concerns about data privacy and the potential for increased tracking of spending habits.

The development comes as the German government accelerates efforts to modernise the country’s payment infrastructure. Earlier this month, the Federal Ministry of Finance announced plans to introduce a real-time payment system by 2028, aiming to reduce settlement times from hours to seconds. The Girocard upgrade aligns with that broader push, though industry analysts caution that adoption will hinge on seamless user experience and robust fraud prevention.

For now, consumers will need to wait. The first public demonstrations of the app-based Girocard payment are scheduled for the autumn, with a limited group of merchants participating in the trial phase. Full integration across major retail chains is not expected before the second quarter of 2027.