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NSE MD says no govt talks on new UPI MDR

By Sohail Khan 26 September 2026, 8:17 pm

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Business News›News›India›NSE MD & CEO Ashish Chauhan says no government talks on new UPI MDR; expects brokers, clients to resolve issue

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NSE MD & CEO Ashish Chauhan says no government talks on new UPI MDR; expects brokers, clients to resolve issue
Synopsis

NSE's Managing Director Ashish Chauhan mentioned there have been no government discussions about the new MDR on UPI payments. He indicated that the issue lies between brokers and their clients regarding these charges. The new MDR framework will implement a 0.02 percent charge on capital-market UPI transactions effective October 15. The Finance Ministry has stated that around 96 percent of transactions will remain unaffected by these changes.

National Stock Exchange's (NSE) Managing Director and CEO Ashish Chauhan said there have been no discussions with the government on the new Merchant Discount Rate (MDR) on UPI payments, adding that it is an issue between brokers and their clients and that they will most likely find a way out of the situation.

"No discussion on MDR with the government. This is a decision taken by NPCI (National Payments Corporation of India) … we will have to wait and see," Chauhan said during an interaction with journalists after NSE's listing on the BSE.

"It seems to be an issue between the broker and client. They will find a way out of whatever the differences will be," he added.

The comments came after the NPCI introduced a new MDR framework for UPI transactions. Under the framework, capital-market transactions, including payments involving stockbrokers, securities and mutual funds, will attract an MDR of 0.02 per cent, capped at Rs 300 per transaction. The new charges are set to take effect from October 15.

The broader UPI framework provides for a 0.4 per cent MDR on specified person-to-merchant transactions above Rs 2,000, while UPI payments to merchants up to Rs 2,000 and transactions covered under the zero-MDR framework for small merchants will remain free. The Finance Ministry has said around 96 per cent of P2M transactions will remain unaffected, while customers will not be charged the MDR.

His comments came a day after NSE made its long-awaited stock market debut on September 24. The exchange's shares listed on the BSE at Rs 1,800 apiece, against an IPO issue price of Rs 1,785, and closed the first session at Rs 1,818.

The Rs 22,561.57 crore IPO, entirely an offer for sale by existing shareholders, comprised about 12.64 crore shares and was priced in the Rs 1,700-Rs 1,785 range.

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