Wire · operational-macro
Festival breather: UPI merchant fee may be deferred till January 1
◆ Sectors
◆ Geography
◆ Source
◆ Verified
Fusion42 · 10 October 2026 · Fusion42 review
The introduction of merchant discount rates (MDR) on UPI transactions in India may be deferred from October 15, 2026, to January 1, 2027, delaying fees for merchants through the festival season amid retailer pushback. The exemption for small merchants could be extended to those with annual turnover up to ₹40 lakh.
This Wire brief sits within Fusion42's coverage of Fintech, and 31 sources have reported it between 15 Sep 2026 and 9 Oct 2026.
◆ ◆ The Wire takeaway
Retail payment founders in India get a chance to hold off customer price increases until the post-festival season. You should prepare your pricing and merchant communications for the January 1 MDR rollout to avoid surprises.
◆ Coverage
31 sources · first reported 15 Sep 2026 · latest 9 Oct 2026
◆ Related on Wire
◆ Topics