Page 2 - Finance News
UPI MDR charges: What consumers need to know about the change in rules
New UPI MDR rules will apply to select merchant transactions, but consumers can continue using UPI for daily payments, QR payments and AutoPay without transaction charges
 "UPI MDR charges: What consumers need to know about the change in rules")
UPI gets MDR: How 0.4% merchant fee compares with debit, credit cards
The new UPI MDR ends its zero-cost model for select high-value merchant payments; here is how the 0.4 per cent charge compares with what merchants pay to accept debit and credit cards
 "UPI gets MDR: How 0.4% merchant fee compares with debit, credit cards")
Sitharaman urges ITRAF to make tax research more visible in policy process
Sitharaman also praised the contribution of tax policy expert Parthasarathi Shome, who chairs ITRAF, recalling her interaction with him after she became Minister of State for Finance in 2014
 "Sitharaman urges ITRAF to make tax research more visible in policy process")
Govt likely to extend key export incentive programme for five years
The commerce ministry sought ₹23,000 crore ($2.40 billion) from the finance ministry under the programme for 2026/27
 "Govt likely to extend key export incentive programme for five years")
'Tax maximisation' or a 'much-needed step'? Verdict split on UPI MDR
UPI MDR has sparked a debate among major fintech players, with some calling it necessary for sustainability while others question the cost burden on merchants and businesses
 "'Tax maximisation' or a 'much-needed step'? Verdict split on UPI MDR")
UPI fee: Why government is putting a price on big merchant payments
From October 15, a 0.4 per cent Merchant Discount Rate (MDR) will apply to person-to-merchant UPI payments above ₹2,000
RBI absorbs ₹2.9 trillion via two VRRR auctions amid surplus liquidity
The RBI, since last month, has been conducting various VRRR auctions in order to absorb surplus liquidity from the banking system and align the overnight money market rates to the repo rate
 "RBI absorbs ₹2.9 trillion via two VRRR auctions amid surplus liquidity")
Run a small shop? How to check whether UPI MDR applies to you
UPI payments above ₹2,000 will attract a merchant fee for eligible businesses from October 15. Here's how small shopkeepers can check if the new MDR rules apply to them
 "Run a small shop? How to check whether UPI MDR applies to you")
CBIC to handhold MSMEs as less than 1,000 join customs duty payment scheme
With less than 1,000 businesses opting for the EMI scheme, the CBIC 'substantially reduced' the data and documentation requirements for businesses who enrol under the scheme
 "CBIC to handhold MSMEs as less than 1,000 join customs duty payment scheme")
Rupee falls 3 paise to 95.91 against US dollar during early trade
At the interbank foreign exchange market, the rupee opened at 95.89 against the US dollar and fell further to 95.91, trading 3 paise lower from its previous close
 "Rupee falls 3 paise to 95.91 against US dollar during early trade")
RBI backs MDR on large-value UPI transactions, says users will pay no fee
In a post on X, the central bank said the move would help UPI continue to scale and innovate while serving consumers and businesses across the country
 "RBI backs MDR on large-value UPI transactions, says users will pay no fee")
0.4% MDR kicks in from October 15 for ₹2,000-plus UPI payments
Sources stress MDR is not a tax on UPI, since the fee is distributed among participants in the payments chain rather than accruing to the government
 "0.4% MDR kicks in from October 15 for ₹2,000-plus UPI payments")
Only 17% merchants willing to bear 0.4% MDR on UPI payments: Survey
LocalCircles survey finds 41% of merchants unwilling to bear any MDR on UPI payments above Rs 2,000, while 9% do not accept UPI payments
 "Only 17% merchants willing to bear 0.4% MDR on UPI payments: Survey")
RBI may hike rates by 25 bps each in Oct & Dec as inflation may cross 6%
Economists say the rate hike cycle could be shallow, with 50-75 bps hike in the current cycle
 "RBI may hike rates by 25 bps each in Oct & Dec as inflation may cross 6%")
RBI absorbs ₹3.93 trillion from banking system through VRRR auction
The central bank received bids worth ₹3,93,352 crore, for a notified amount of ₹5 trillion
 "RBI absorbs ₹3.93 trillion from banking system through VRRR auction")
Banks' panel to decide on UPI merchant charges on transactions above ₹2,000
A panel comprising representatives of banks, service providers and various associations would soon take a call on charges to be levied on UPI payments above Rs 2,000 to merchants.
 "Banks' panel to decide on UPI merchant charges on transactions above ₹2,000")
Rupee falls 30 paise to 95.84 against US dollar during early trade
At the interbank foreign exchange market, the rupee opened at 95.84 against the US dollar, registering a loss of 30 paise from its previous close
 "Rupee falls 30 paise to 95.84 against US dollar during early trade")
UPI payments up to ₹2,000 to remain free: What it means for users
The Centre has said banks and payment system providers cannot charge for UPI transactions up to ₹2,000 or payments made through RuPay-powered debit cards
Banks likely to see 15-20 basis points rise in FCNR(B) deposit costs
Rise due to hedging costs on interest, not absorbed by RBI
 "Banks likely to see 15-20 basis points rise in FCNR(B) deposit costs")
RBI may take until Q2FY28 to absorb ₹4 trn durable liquidity surplus
Economists expect the central bank to use OMO sales, sell-buy swaps and other liquidity-management tools to gradually absorb the durable surplus