Traders' bodies have asked the National Payments Corporation of India to defer the new merchant discount rate framework for UPI beyond 15 October, according to an NDTV Profit report citing unnamed sources. Trade associations proposed delaying the new charges until after the festive season or into early next year. Business Today, citing a report, said the UPI Steering Committee has been called to meet on Friday, 9 October, to decide on the deferment, with an announcement likely around 1 pm to 2 pm IST. NPCI, which designed the revised framework in consultation with stakeholders, had not taken a decision as of 8 October.
The government announced the 0.4 percent merchant discount rate on UPI merchant transactions above 2,000 rupees on 15 September 2026, with implementation scheduled for 15 October. The charge is capped at 300 rupees. The UPI Steering Committee had fixed the rate, and the charges were scheduled to begin from 15 October 2026.
Moneycontrol reported, citing unnamed sources, that merchant bodies, fintechs and payments companies have asked NPCI to delay implementation until January 2027. The same report says NPCI is discussing the request with the finance ministry. On the published framework, the charge applies from 15 October unless the steering committee moves that date.