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Wire · operational-macro

UPI Charges May Return For High-Value Transactions: Govt Weighs Two Options

13 August 2026 · By · Wire by Fusion42

Published

13 August 2026

Topic

operational-macro

◆ Sectors

Fintech

◆ Geography

India

◆ Source

Read at news.abplive.com →

◆ Verified

Fusion42 · 13 August 2026 · Fusion42 review

The Indian government is considering reintroducing a merchant discount rate (MDR) on select high-value UPI transactions or gradually reducing government incentives to make the UPI payments ecosystem financially sustainable amid rising operational costs.

This Wire brief sits within Fusion42's coverage of Fintech, and 40 sources have reported it between 19 Jul 2026 and 22 Aug 2026.

◆ ◆ The Wire takeaway

You need to prepare for a cost increase in your digital payments operations if you serve high-value merchants on UPI. This shift opens opportunities to reprice services or target segments outside the MDR scope.

◆ Coverage

40 sources · first reported 19 Jul 2026 · latest 22 Aug 2026

◆ Topics

Fintechupidigital-paymentsmerchant-discount-rategovernment-incentivesfinancial-sustainability