FM Sitharaman Denies External Pressure on UPI MDR

Economic Times - Tech · technology

Finance Minister Nirmala Sitharaman has dismissed allegations of external pressure behind the 0.4% Merchant Discount Rate (MDR) on specified UPI transactions above Rs 2,000. She stated the decision was professional, made jointly by the National Payments Corporation of India and payment ecosystem entities, not imposed by the government. Sitharaman clarified that MDR is not a tax and the revenue will be shared among banks and payment gateways, not accrue to the government.