Wire · operational-macro
UPI MDR fixed at 0.4% for transactions over Rs 2,000; capped at Rs 300 per transaction
◆ Sectors
Fintech
◆ Geography
India
◆ Source
◆ Verified
Fusion42 · 15 September 2026 · Fusion42 review
India's government has fixed the Merchant Discount Rate (MDR) for UPI transactions over Rs 2,000 at 0.4%, capped at Rs 300 per transaction to regulate costs for merchants and payment providers.
This Wire brief sits within Fusion42's coverage of Fintech, and 2 sources have reported it.
◆ ◆ The Wire takeaway
This fee cap lifts cost certainty for your UPI payment service operation but squeezes margins for volume-heavy merchants and payment processors. Consider recalibrating your pricing or customer acquisition strategies before adoption accelerates.
◆ Coverage
2 sources · 15 Sep 2026
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◆ Topics
Fintechupimdrpayment-feesindiafintechregulation