No UPI Day Protest Called Off: What This Means for Your Payments

The proposed ‘No UPI Day’ protest, planned for October 2 (Gandhi Jayanti), has been called off. This means consumers can expect normal UPI payment services at mobile retailers and other participating businesses, as the All India Mobile Retailers Association (AIMRA) and the All India Consumer Products Distributors Federation (AICPDF) have withdrawn their protest.

The protest was organized to oppose a new 0.4% UPI Merchant Discount Rate (MDR) set to apply from October 15, 2026, on specified merchant transactions exceeding ₹2,000. This charge is levied on the merchant, not directly on the customer, and retailers expressed concerns that it would add pressure to their already thin profit margins.

Following a meeting with Union Finance Minister Nirmala Sitharaman, the trade delegation, led by BJP MP Praveen Khandelwal and AIMRA founder Kailash Lakhyani, sought a deferment of the MDR, a phased implementation starting at 0.20% in 2026-27, and an increase in the applicability threshold from ₹1 lakh to ₹5 lakh. Sitharaman assured them that their concerns would be addressed, leading to the protest's withdrawal.

What to watch: Future policy discussions on UPI MDR implementation rates and thresholds.

Editor's note: The article is comprehensive and accurately reflects all key details from the source, including the specific proposals made by the trade delegation.

This article is AI-generated and fact-gated. Original reporting: Livemint Money