UPI MDR to pinch retailers with bigger baskets, while sparing others

India's proposed 0.4% merchant discount rate on UPI transactions above Rs.2,000 from October 15 will raise costs for retailers and consumer internet firms with higher average order values, while sparing food delivery and quick-commerce businesses with lower transaction sizes.

This Wire brief sits within Fusion42's coverage of Fintech, and 27 sources have reported it between 15 Sep 2026 and 5 Oct 2026.