Wire · operational-macro
Understanding The Impact Of New UPI Merchant Charges
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Fusion42 · 2 October 2026 · Fusion42 review
India's UPI transactions surged 27% in volume and 20% in value in H1 FY24 despite the upcoming introduction of a 0.4% merchant discount rate on transactions above Rs 2,000, aimed at sustaining the digital payments ecosystem. Key exemptions apply for person-to-person payments and small merchants, and UPI has expanded to 11 countries including Uzbekistan.
This Wire brief sits within Fusion42's coverage of Fintech, and 2 sources have reported it between 2 Oct 2026 and 3 Oct 2026.
◆ ◆ The Wire takeaway
You face new costs on higher-value UPI payments that open merchant accounts to charges, while small merchants remain protected. Your sales cycle must now account for these fees, especially if targeting mid-size merchants who could reconsider UPI's cost benefits.
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2 sources · first reported 2 Oct 2026 · latest 3 Oct 2026
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