Mumbai, Oct. 13 -- The UPI and Services Steering Committee has decided to defer Merchant Discount Rate (MDR) on select Person-to-Merchant (P2M) UPI transactions after Diwali, with the exact date to be announced separately, the National Payments Corporation of India (NPCI) said in an official statement on Tuesday.

The decision comes as the committee took the festive season into consideration while deciding the implementation timeline for the charges on specified merchant transactions.

"Keeping in mind the festive season, Merchant Discount Rate (MDR) on select Person-to-Merchant (P2M) UPI transactions, shall be implemented immediately post Diwali at a date to be notified separately," NPCI said in its statement.

MDR is the fee paid by mer...