With due respect, we wish to put forward a factual clarification: The ₹146 figure does not reflect the fuel-specific MDR provision. As per the NPCI FAQ, fuel/petroleum transactions above ₹2,000 attract a flat MDR of ₹5, irrespective of the transaction value, while transactions below ₹2,000 carry zero MDR. Therefore, for a ₹30,924 fuel purchase, the applicable MDR would be ₹5, and ₹5.90 including 18% GST, if GST is applicable, and not ₹146. We hope this clarification is helpful in keeping the discussion factually accurate and constructive. Please refer to the Q33 under the FAQ: npci.org.in/uploads/FA_Qs_Me… @FinMinIndia @NPCI_NPCI

UPI continues to remain free for consumers. Person-to-person (P2P) payments remain completely free, while person-to-merchant (P2M) transactions up to ₹2,000 continue with zero MDR. For specified merchant transactions above ₹2,000, MDR is applicable on the merchant side—not to UPI users. UPI MDR helps support the technology, infrastructure and operations needed to keep the UPI ecosystem running smoothly and sustainably. #UPI #NPCI #UPIChalega #DigitalPayments

UPI continues to remain free for consumers. Person-to-person (P2P) payments remain completely free, while person-to-merchant (P2M) transactions up to ₹2,000 continue with zero MDR. For specified merchant transactions above ₹2,000, MDR is applicable on the merchant side—not to UPI users. UPI MDR helps support the technology, infrastructure and operations needed to keep the UPI ecosystem running smoothly and sustainably. #UPI #NPCI #UPIChalega #DigitalPayments

Flat MDR for essential services, keeping digital payments efficient. For specific sectors such as railways, telecom, insurance and fuel, a flat MDR of ₹5 applies to eligible UPI transactions above ₹2,000, instead of a variable percentage rate. This flat-rate model helps prevent cost escalations in critical public services, utility bill collection and thin-margin sectors like fuel retail—keeping essential consumer services low-cost and digitally efficient. #KnowTheFacts #UPIUpdates

India’s UPI ecosystem is taking an important step towards long-term sustainability. More than 95% of UPI P2M payments are ₹2,000 or below — and these continue to have ZERO MDR. For small merchants under the P2PM framework with UPI collections up to ₹1 lakh per month, ZERO MDR continues — even on payments above ₹2,000. Customers continue to pay no UPI transaction charges. #UPI #DigitalPayments #SmallMerchants #MDR

RT @RBI: The introduction of MDR on large-value UPI transactions (i.e., above ₹2,000) is an important step towards strengthening the long-t…

👉 UPI Continues to Remain Free for Peer to Peer Transactions and 96% of Merchant Transactions 👉 The new UPI framework introduced has no impact on any person to person transactions 👉 UPI will continue to remain completely free for all person-to-person transactions, irrespective of the amount transferred 👉 Payments to merchants up to ₹2,000, along with transactions covered under the zero-MDR framework for small merchants, will also remain free 👉 Consequently, approximately 96% of all P2M transactions will remain unaffected. MDR will apply only to specified merchant transactions above ₹2,000 👉 It is clarified that MDR is neither a tax nor a charge collected by the Government or @NPCI_NPCI. It is distributed among payment ecosystem participants, including banks and payment application providers, to support the operation and continued expansion of the UPI ecosystem 👉 Introduced under the Payment and Settlement Systems Act, 2007, following detailed deliberations by the UPI Steering Committee, the framework seeks to ensure the long-term sustainability of UPI while protecting individuals and small merchants from additional charges Read here for full details ➡️ pib.gov.in/PressReleasePage.…

Zero-charge policy was useful when the goal was to spur initial UPI adoption. But now that UPI has matured, keeping it safe and efficient while ensuring growth requires major investments. Hence, the need for charges. timesofindia.indiatimes.com/…

There has been considerable discussion around UPI and merchant charges. Here are the facts behind the conversation what it means for consumers, merchants, and India's digital payment ecosystem. 1. Will I have to pay to use UPI? No. UPI has always been free for consumers since its launch in 2016. Every Indian can continue making instant digital payments without paying any transaction charges. 2. Will small shopkeepers or kirana stores be charged for accepting UPI? No. Small merchants are not required to pay any charges (MDR) to accept UPI payments. UPI was designed to make digital payments accessible for even the smallest businesses across India, and protecting small merchants remains central to the ecosystem's inclusive growth. 3. Why is there a discussion around UPI charges now? UPI has evolved from a new payment platform into the world's largest real-time payment system. As the ecosystem continues to expand, discussions are taking place on how to sustainably support the infrastructure that enables billions of secure transactions every month, while continuing to ensure that consumers and small merchants remain protected. 4. Who built and continues to invest in UPI? For nearly 10 years, banks, payment companies, fintechs, NPCI and RBI have collectively invested in technology, cybersecurity, fraud prevention, innovation and customer support to build one of the safest and most reliable payment systems in the world. These investments continue every day to keep UPI secure, resilient and available 24×7. 5. If UPI is free, who bears the cost of operating it? Operating a national payment infrastructure involves continuous investment in technology, fraud prevention, cybersecurity, compliance, customer support and innovation. These costs are currently borne by ecosystem participants including banks and payment service providers who continue to invest so consumers can enjoy a safe, secure and seamless payment experience. 6. Would consumers have to pay if large merchants pay for payment acceptance? No. Merchant service charges, where applicable, are commercial arrangements between merchants and payment service providers. They do not mean that consumers pay to use digital payments. Across the world, merchant service charges are a standard feature of digital payment ecosystems, while consumers continue to enjoy convenient and secure digital payment experiences. 7. Why is sustaining the UPI ecosystem important? UPI has become critical national digital infrastructure used by hundreds of millions of Indians every day. As transaction volumes continue to grow, sustained investment in security, resilience, innovation, fraud prevention and infrastructure will remain essential to ensure that UPI continues to serve consumers and businesses reliably for years to come. @FinMinIndia @DFS_India @nsitharamanoffc

What is all the buzz about UPI? There has been considerable discussion around UPI and merchant charges. Here are the facts behind the conversation what it means for consumers, merchants, and India's digital payment ecosystem. #UPI #DigitalPayments

Shri Kris Gopalakrishnan (@kris_sg), Chair - Global Fintech Fest (GFF), calls on Smt @nsitharaman.