New Delhi, Sept. 16 -- The Reserve Bank of India (RBI) has backed the government's latest Merchant Discount Rate (MDR) framework for UPI merchant transactions, calling it an "important step" towards strengthening the long-term sustainability of India's digital payments ecosystem.

Taking to its official X account, the apex bank noted that the introduction of MDR on UPI merchant transactions above Rs 2,000 will support the long-term sustainability of India's digital payments ecosystem.

"The introduction of MDR on large-value UPI transactions (i.e., above Rs.2,000) is an important step towards strengthening the long-term sustainability of India's digital payments ecosystem. It will help UPI in continuing to scale, innovate and serve consum...