Home › News

, , ,

NPCI defers UPI MDR on select merchant payments until after Diwali

NPCI has pushed the planned merchant fee on select UPI payments to just after Diwali, two days before it was due to start, with the structure unchanged.

A BHIM UPI payment ID sign for entrance fees at Shaurya Smarak in Bhopal, India

NPCI has deferred the UPI MDR on select person-to-merchant transactions until immediately after Diwali, with a new date to be notified, it said on October 13, two days before the fee was due to start on October 15. UPI processed 24.07 billion transactions worth ₹29.37 trillion in September, a record average of 802 million a day.

Why it matters: Business Standard reports that the fee structure itself is unchanged, so the decision changes only the start date. It holds back a charge that banks and payment companies processing UPI merchant payments had been due to start collecting, during the festive season when merchant volumes peak.

Source: Business Standard, October 13, 2026

Related: TWTWIP week ending 16 October 2026 · Pix keys top 1 billion in Brazil


Image: Suyash.dwivedi, CC BY-SA 4.0, via Wikimedia Commons

The week in payments, every Monday

The top stories, why they matter, and the events coming up. Free.

More stories