Government announces UPI to remain free for users and majority of merchants
Summary
- The government has decided to keep UPI services free for users.
- Most merchant transactions will also remain free, with no merchant discount rate (MDR) applied.
- Any future MDR, if introduced, will be applied only to a limited set of transactions above a specified threshold.
Key Facts
- · UPI services to remain free for users
- · Majority of merchant transactions to remain free
- · Future MDR to be nominal and lower than typical debit and credit card MDRs
Why it matters
This decision aims to promote digital payments and ensure affordability for both users and merchants, supporting the government's goal of a cashless economy.
#UPI#Digital Payments#Merchant Discount Rate#Economy