MDR a Small Fee, Will Not Have Major Impact on UPI Volumes: RBI Governor Sanjay Malhotra

The Reserve Bank of India governor affirmed that the recently introduced merchant discount rate (MDR) of 0.4% on UPI transactions above Rs 2,000 has not caused a decline in transaction volumes. Additionally, the RBI raised its benchmark interest rate to 5.50%, signaling calibrated monetary tightening while expecting strong bank credit growth to support economic activity.

This Wire brief sits within Fusion42's coverage of Fintech, and 31 sources have reported it between 15 Sep 2026 and 9 Oct 2026.