New Delhi, Oct. 8 -- The Global Trade Research Initiative (GTRI) has urged the government to withdraw proposed changes to UPI payments scheduled to take effect from October 15, arguing that merchant charges could increase costs for businesses and consumers.

Under the proposed changes, specified UPI transactions above Rs 2,000 would attract a Merchant Discount Rate (MDR) to support the operation, security and expansion of the digital payments system.

GTRI said UPI should remain free for merchants and consumers and recommended an independent audit to determine the system's actual operating costs. It suggested that banks, NPCI, payment apps and the government share these costs through a transparent funding mechanism.

MSMEs, Consumers May ...