Around 60% of all scheme debit card transactions in Australia are currently made using contactless technology, according to internal Westpac Group and industry data.
Based on assumption that consumers will spend approximately $15 per transaction, Westpac has predicted that almost $3bn will make transactions through contactless payments on mobile devices in 2015.
Westpac chief product officer, David Lindberg, said: "Eighteen months ago, we could see the momentum building in contactless payments, the ability to take out your credit or debit card and tap it on a terminal and have the payment go through. It was about 18% of all scheme debit card transactions in Australia.
"With contactless transactions now becoming available on people’s mobile phones, starting with the popular Samsung GALAXY smartphones, it’s going to make transactions even faster and more convenient for customers."
Lindberg added that customers making contactless payments in Australia through their smartphones are most likely to use the functionality for payments of $100 or less.
Westpac’s new small business payment service, Mobile PayWay, is expected to be launched in May 2014.
Mobile PayWay will use Visa’s Mobile Provisioning Solution (VMPS) that allows customers to make contactless payments using NFC technology.
Westpac said that clients can use all personal Visa card or MasterCard credit and debit cards to make mobile payments.
Available on Apple and Android devices, the new solution is a small, portable, EMV-compliant payment device designed for small business customers.