India's UPI Bill May Allow Charges on Payments Above Rs 2,000

A bill introduced in India's Parliament could pave the way for Merchant Discount Rate (MDR) charges on UPI payments above Rs 2,000, though no fees have been announced. The amendment to the Payment and Settlement Systems Act creates a legal basis for such charges, potentially affecting large merchants like Amazon and Flipkart. The government, RBI, and NPCI have not commented, and RBI Governor Sanjay Malhotra called it premature to discuss changes. The move comes as UPI hit a record 23.66 billion transactions in July.