# India weighs merchant fees on some UPI payments

_Published Monday, August 17, 2026 at 8:07 PM EDT · Policy, Products · Developing · Tier 2 — Notable_

![A woman checks her mobile phone close to 'PhonePe' logo installation on the last day of the sixth Global Fintech Fest (GFF) in Mumbai. The three day event held from 7-9th October 2025, a global platform to encourage major stakeholders of Fintech firms, who gathered to share and exchange ideas, and innovation in banking, finance, artificial intelligence, digital payments, startups, and new technologies concluded on the last day with Indian Prime Minister Narendra Modi and United Kingdom Prime Minister, Keir Starmer addressing the delegates present at the event. (Photo by Ashish Vaishnav/SOPA Images/LightRocket via Getty Images) — Primary](https://ichef.bbci.co.uk/news/1024/branded_news/250b/live/07d59750-96ed-11f1-bdf3-57bf9a99cb46.jpg)

India is considering a merchant discount rate of 0.3% to 0.5% on some higher-value UPI transactions at larger businesses, according to the report. The government has not decided the rate or exact scope. It says consumer and person-to-person payments would remain free, while one option under discussion would target transactions above 2,000 rupees at larger merchants. UPI processed 23.6 billion transactions worth 29.87 trillion rupees in July, the report says.

## Sources

- [bbc.com](https://www.bbc.com/news/articles/c8xnwqe00v1o)

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Canonical: https://techandbusiness.org/newswire/H_-Cq_6CGDED64j7BEZsi-
Published: 2026-08-18T00:07:14.230Z
Story chronology: 2026-08-17T19:25:11.000Z
Retrieved: 2026-10-02T08:29:06.587Z
Publisher: Tech & Business (techandbusiness.org)