UPI's Golden Goose: Why Free Transactions Matter The Ministry of Finance's recent clarification on Person to Person (P2P) transactions through Unified Payments Interface (UPI) has sparked debate over introducing Merchant Discount Rate (MDR) fees for high value transactions.
However, the discussion is less about economics and more about the fundamental nature of digital payments in India.
UPI's remarkable growth – with billions of transactions processed every month – can be attributed to its simplicity and ease of use.