{
  "id": 7804597,
  "title": "MDR could push small merchants, price-sensitive consumers back towards cash: GTRI",
  "url": "https://urgent.news/2026/09/16/mdr-could-push-small-merchants-price-sensitive-consumers-back-towards",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-16T14:31:27.000Z",
  "source": {
    "name": "Economic Times Tech",
    "slug": "economic-times-tech",
    "url": "https://economictimes.indiatimes.com/tech/tech-bytes/mdr-could-push-small-merchants-price-sensitive-consumers-back-towardscash-gtri/articleshow/134290479.cms"
  },
  "original_language": "en",
  "account": "The Merchant Discount Rate (MDR) imposed on UPI transactions exceeding Rs 2,000 could drive small merchants and price-conscious consumers back to cash payments, according to the economic think tank GTRI. This measure, effective from October 15, imposes a 0.4% MDR on UPI payments over Rs 2,000, capped at Rs 300. Additionally, a flat Rs 5 MDR applies to certain merchant categories such as railway, telecom, insurance, and fuel transactions above Rs 2,000. GTRI founder Ajay Srivastava argued that MDR threatens the widespread adoption of UPI and RuPay, diverting billions of transactions away from Visa and Mastercard, which typically charge 1-3% network fees. Srivastava also pointed out that free UPI and RuPay systems divert transactions from foreign payment systems, potentially impacting the US's economic and strategic interests.",
  "summary": "Effective October 15, UPI payments to merchants (P2M) above Rs 2,000 will attract a 0.4 per cent MDR with an overall cap of Rs 300. Besides, a flat concessional MDR of Rs 5 would be applicable on specific merchant categories such as railways, telecom services, insurance, and fuel for transaction above Rs 2,000.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "The Economic Times - Economy",
        "title": "From UPI to cash? Retailers warn new MDR could hit small merchants ahead of festive season",
        "url": "https://urgent.news/2026/09/16/from-upi-to-cash-retailers-warn-new-mdr-could-hit-small-merchants",
        "published": "2026-09-16T09:54:07.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}