Budget 2026: Payment facilitators may push for UPI subsidy hike
Published on: Nov. 19, 2025, 12:14 a.m. | Source: The Economic Times
As the government prepares for its next budget, payment system operators are calling for a decisive increase in subsidies for UPI merchant discount rates (MDR). They emphasize the critical funding shortfall for zero-MDR on low-value transactions between individuals and merchants, recommending a reasonable MDR for larger retailers to maintain the financial health of the system.
