New Delhi: The Finance Ministry on wednesday stated that "hypothesis and claims that the MDR (service provider discount charge) might be charged on UPI transactions are completely false, baseless, and deceptive".

"Such baseless and sensation-developing speculations cause unnecessary uncertainty, worry and suspicion amongst our residents. The government remains absolutely committed to selling virtual payments through UPI," the Finance Ministry stated.

The professional rebuttal turned into issued following several reports circulated online claiming that the authorities became making plans to impose MDR on large-price tag UPI transactions. MDR is a fee that banks fee merchants for processing payments in real time. In advance, traders used to pay an MDR fee amounting to at least one according to cent of the overall transaction value on card payments. But in 2020, the government waived off MDR prices to sell digital payments in the united states.

Meanwhile, UPI processed 18.68 billion transactions in may, according to records launched through NPCI on Sunday. In value terms, UPI transactions totalled Rs 25.14 lakh crore in might also, up from Rs 23.95 lakh crore in April, in step with information released by means of NPCI on Sunday.

The may figures additionally mark a 33 in step with cent yr-on-yr soar in transaction quantity, compared to 14.03 billion transactions recorded within the equal month last 12 months. The average day by day transaction amount for may also stood at Rs eighty one,106 crore, even as the average every day transaction quantity changed into 602 million.

The Unified payments Interface (UPI) reinforced its dominance in Indias virtual bills machine with its share in the overall transaction extent growing to 83.7 in line with cent in 2024-25 from 79.7 in keeping with cent inside the preceding economic 12 months.

The rbis annual document indicates that UPI facilitated 185.eight billion transactions at some stage in 2024-25, which represents a 41 in line with cent year-on-year growth. In value phrases, UPI transactions rose to Rs 261 lakh crore from Rs 2 hundred lakh crore in FY24.

"The fulfillment of UPI positioned india in a leadership function with a percentage of 48.5 in keeping with cent in worldwide real-time bills via volume," the RBI said. Overall virtual bills inside the usa, along with transactions thru fee systems, card networks, and pay as you go price contraptions (ppis), grew 35 in step with cent to 221.9 billion in FY25, from 164.4 billion transactions in FY24. In value phrases, general wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital bills surged 17.ninety seven according to cent to Rs 2,862 lakh crore.

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