The Facebook-owned platform has detailed the new feature in a blog post this week, which will allow users to "safely send money" or "share the cost of goods" without needing to leave their homes.
The company announced: "Starting today, people across India will be able to send money through WhatsApp. This secure payments experience makes transferring money just as easy as sending a message.
"People can safely send money to a family member or share the cost of goods from a distance without having to exchange cash in person or going to a local bank.
"WhatsApp designed our payments feature in partnership with the National Payments Corporation of India (NPCI) using the Unified Payment Interface (UPI), an India-first, real-time payment system that enables transactions with over 160 supported banks.
"We’re excited to join India’s campaign to increase the ease and use of digital payments, which is helping expand financial inclusion in India."
WhatsApp also addressed potential security concerns, and insisted there are "principles" in place to ensure everyone's privacy.
They added: "Just like every feature in WhatsApp, payments is designed with a strong set of security and privacy principles, including entering a personal UPI PIN for each payment.
"Payments on WhatsApp is now available for people on the latest version of the iPhone and Android app."