UPI MDR may push costs on to consumers despite surcharge ban: IIT Bombay report

A new IIT Bombay report warns that the revised Merchant Discount Rate (MDR) for UPI transactions in India could indirectly raise costs for consumers through higher retail prices despite a ban on direct surcharges by merchants. The report suggests targeting MDR charges to large online merchants and capping fees to protect consumers and fund UPI expansion.

This Wire brief sits within Fusion42's coverage of Fintech, and 45 sources have reported it between 19 Jul 2026 and 15 Oct 2026.