Indian authorities keen to charge merchants fees to bolster homegrown payments network

India's payments authority, central bank, and industry are urging the government to allow a fee on digital payments to large merchants via UPI. This Merchant Discount Rate (MDR) aims to boost investment for payments firms and revive slowing UPI growth. A rate of 0.2% to 0.3% is suggested. The final decision rests with Prime Minister Narendra Modi's office. India's payments authority, the central bank, and industry are pushing the government to allow a fee on digital payments to large merchants made via its homegrown network to help boost growth, five sources told Reuters.