Govt mulls MDR charge or ‘tiered incentives’ to make UPI financially self-sustaining
The Indian government is considering implementing a Merchant Discount Rate (MDR) charge or tiered incentives to ensure the Unified Payments Interface (UPI) becomes financially self-sustaining. The Parliamentary Standing Committee on Finance highlighted a significant gap between the ₹2,000 crore budget and the estimated ₹20,700 crore operational cost. A decision is expected soon to address these financial concerns.