NPCI says MDR charge imposed to protect UPI ecosystem
In short
NPCI said an MDR charge has been imposed to keep the UPI system working smoothly. It said zero MDR is no longer sustainable because UPI is growing fast and needs more security, resilience and infrastructure.
This matters for the UPI payments system because the charge is meant to support its long-term running and capacity.
What the reporting says
NPCI said an MDR charge has been imposed to save the UPI ecosystem from turning “ouroboric,” linked to the Supreme Court matter. The report suggests the charge is meant to support the long-term functioning of UPI.
Why it matters
NPCI said an MDR charge has been imposed to protect the UPI ecosystem tied to the Supreme Court case. The stated reason is that zero MDR is no longer sustainable as UPI growth increases demands on security, resilience and infrastructure. The move matters for users, payment participants and the wider digital payments system because it affects how the network is funded and maintained.