Punjab Newsline | New Delhi
Opposition from traders over the proposed Merchant Discount Rate (MDR) on UPI payments is intensifying. The Chamber of Trade and Industry (CTI), a traders’ organisation in Delhi, has announced that merchants could consider a complete boycott of UPI payments if charges are introduced from October 15.
CTI Chairman Brijesh Goyal has written to Union Finance Minister Nirmala Sitharaman, urging the government to roll back the proposed UPI MDR charges before they come into effect.
According to the traders’ body, UPI has become one of the most important payment methods for businesses of all sizes. Traders argue that imposing an additional fee on digital transactions could increase operating costs, particularly for small retailers.
CTI said traders in Delhi and other parts of the country are unhappy with the proposed MDR charges. They maintain that even a small additional cost on every digital transaction could directly affect the margins of small shopkeepers.
From grocery stores and clothing and footwear outlets to electronics shops, restaurants and other markets, UPI payments are now widely used by customers. Traders fear that any charge on such transactions could create an additional financial burden for businesses.
The CTI has urged the government to reconsider the proposed fee, arguing that instead of imposing charges, steps should continue to encourage wider adoption of digital payments.
