The NPCI, which operates the UPI network, said it was postponing the planned October 15 rollout of the 0.4% fee due to the festive shopping season.
India will impose a 0.4% merchant fee on certain payments made through UPI starting October 15.
The legislation lays the groundwork for a potential overhaul of India’s zero-merchant-discount-rate regime, under which businesses have not paid fees to accept UPI payments since 2020.
Dilip Asbe said that newer UPI apps could be more competitive with a viable commercial model
PhonePe and Google Pay command 80% of India’s UPI instant payments network. Rivals are set to meet with regulators to lobby for restrictions.