Page 9 - Finance News
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
 "UPI payments up to ₹2,000 to remain free: What it means for users")
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
RBI proposes temporary debit holds on suspected money mule accounts
Banks can hold fraud-linked amounts immediately; customers get 20 days to explain transactions
 "RBI proposes temporary debit holds on suspected money mule accounts")
Brics backs tax working groups, customs pact under India's chairship
Brics leaders back deeper tax and customs cooperation under India's chairship, including new tax working groups, a customs pact and joint enforcement initiatives
 "Brics backs tax working groups, customs pact under India's chairship")
UPI's AI protocol temporarily on hold as NPCI builds safeguards
The focus is on user protection, mapping actual risks from potential liabilities when agents go rogue, and governance standards around evolving technologies like these
 "UPI's AI protocol temporarily on hold as NPCI builds safeguards")
Record $44.9 bn surge in a week makes India 4th-largest Fx holder
Gold reserves, by contrast, declined by $2.59 billion to $113.81 billion during the week as gold prices fell 0.56 per cent to $4,429 an ounce
 "Record $44.9 bn surge in a week makes India 4th-largest Fx holder")
Nearly 50% FCNR(B) deposits are for 5-year tenure: RBI Governor Malhotra
RBI Governor Sanjay Malhotra says nearly half of the $127.2 billion in FCNR(B) deposits mobilised under the concessional swap facility have a five-year tenure
 "Nearly 50% FCNR(B) deposits are for 5-year tenure: RBI Governor Malhotra")
RBI imposes ₹27.3 lakh penalty on Asset Care & Reconstruction Enterprise
The central bank imposed the penalty after its inspection found non-compliance with regulatory directions relating to the charging of management fees by the ARC
SBI aims for DPDP compliance by December, ahead of May 2027 deadline
The country's largest lender has procured the software and hardware required to comply with DPDP norms and plans to deploy them ahead of the May 2027 deadline
 "SBI aims for DPDP compliance by December, ahead of May 2027 deadline")
Rupee falls 1% in three days as crude, foreign outflows weigh on currency
The rupee has weakened over 1 per cent in three sessions as high crude oil prices and foreign outflows weigh, while experts see 96 as a key level against the dollar
 "Rupee falls 1% in three days as crude, foreign outflows weigh on currency")
India FX deposits to help earn more revenue: RBI Governor Sanjay Malhotra
The comments come as the RBI deals with the fallout from record foreign-exchange inflows
 "India FX deposits to help earn more revenue: RBI Governor Sanjay Malhotra")
UPI Tap and Pay explained: How it works, key features, and its benefits
Digital payments are getting a new option. Here's what RBI's new UPI Tap and Pay feature is all about, how it works and what it could mean for users:
RBI plans to drain ₹5 trillion through 26-day liquidity mopup bid
Central bank will conduct a 26-day VRRR auction on Friday to absorb surplus banking-system liquidity; funds placed in the auction will be reversed on October 7
Banks will take 3-4 months to deploy FCNR(B) flows, says C S Setty
CS Setty said banks would deploy the liquidity gradually, while also calling for lower upfront costs to enable large-scale adoption of agentic AI in Indian banking
 "Banks will take 3-4 months to deploy FCNR(B) flows, says C S Setty")