‘75% of merchants insulated from UPI MDR’: NPCI CEO

Around three-fourths of India’s merchants accepting digital payments have never recorded a UPI transaction of more than Rs 2,000. As a result, they will remain insulated from the newly introduced merchant discount rate (MDR), National Payments Corporation of India (NPCI) managing director and chief executive officer Dilip Asbe said on Thursday.

Speaking at the SBI Banking and Economics Conclave, Asbe said the objective of introducing MDR was not to fully recover the cost of running UPI, but to generate enough revenue for banks and payment companies to continue investing in the ecosystem.