New Delhi, September 15 (Daily Kiran) : The political debate surrounding the Merchant Discount Rate (MDR) on Unified Payments Interface (UPI) transactions has intensified, with the Congress party launching a sharp critique of the central government. Congress General Secretary K.C. Venugopal and Leader of Opposition in Lok Sabha Rahul Gandhi have accused the government of making decisions detrimental to the public under pressure from American companies.
Venugopal took to social media platform X to express his concerns, stating, “Imposing MDR under pressure from the U.S. lobby is entirely against the interests of ordinary people. Why are citizens being burdened? The cost of MDR should be borne by large financial companies, not those who rely on UPI for their daily needs.”
He further emphasized the need for a Prime Minister who stands firm against global pressures, especially when such demands conflict with the interests of poor and middle-class Indians, rather than one who capitulates completely.
Earlier, Rahul Gandhi had also criticized the government on the same issue. He noted on X, “The Modi government has quietly opened the door to imposing fees on UPI transactions. Now, MDR can be levied on merchant UPI transactions exceeding ₹2,000.”
Gandhi highlighted that while these transactions represent only 5 percent of the total, they account for approximately 65 percent of the overall UPI transaction volume. He questioned the government’s claim that no fees would be charged to consumers, pointing out that any fees imposed on merchants would ultimately be passed on to customers in the form of increased prices.
He accused U.S. payment companies of long opposing India’s zero-MDR policy and claimed that the Modi government has now paved the way for a policy shift in that direction.
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