Government move on MDR important for long-term growth, sustainability of UPI ecosystem: PhonePe Founder Sameer Nigam

Bengaluru (Karnataka) [India], September 16 (ANI): Noting that roughly 70–80 crore UPI transactions take place every day, PhonePe founder CEO Sameer Nigam has said that the government’s decision to introduce a 0.4 per cent Merchant Discount Rate (MDR) on merchant-related UPI transactions above Rs 2,000 will help industry generate revenue that can be reinvested into further growth.

In an interview with ANI, he also said that around 96% of transactions will remain free because the majority of UPI transactions in India are below Rs 2,000. He said the government decision on MDR is important for the long-term growth and sustainability of the UPI ecosystem.