Wire · operational-macro
Only 10 pc of UPI transaction value risks MDR charges; corporates to absorb most proposed fees
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Fusion42 · 24 September 2026 · Fusion42 review
The National Payments Corporation of India (NPCI) confirmed that only about 10% of the total UPI transaction value is likely to incur merchant discount rate (MDR) charges passed on to consumers, with large corporates absorbing most of the costs. NPCI plans to channel 5% of MDR collections into a fund to support young entrepreneurs and boost UPI adoption among small merchants.
This Wire brief sits within Fusion42's coverage of Fintech, and 27 sources have reported it between 15 Sep 2026 and 5 Oct 2026.
◆ ◆ The Wire takeaway
You face a new chance to expand UPI adoption with fewer consumer fees than feared, but you must target big corporates who will absorb most charges and small merchants who may benefit from new entrepreneurial funding.
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27 sources · first reported 15 Sep 2026 · latest 5 Oct 2026
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