The Economic Times

From UPI to cash? Retailers warn new MDR could hit small merchants ahead of festive season

Retailers Association of India warns new UPI fees could reverse digital payment gains. Small merchants may shift transactions back to cash, impacting government formalization efforts. The association argues UPI debit transactions should not incur merchant discount rates. They propose the government should underwrite UPI network costs instead. RAI will seek a graded MDR structure and incentives for small retailers.