No proposal for changes in UPI service charges in consideration: Govt

The government has clarified that it is not considering to impose charges on transactions carried out through the Unified Payments Interface (UPI) services.

Addressing the hearsays about charges on UPI services, the Ministry of Finance said, “UPI is a digital public good with immense convenience for the public and productivity gains for the economy. There is no consideration in government to levy any charges for UPI services.”

The concerns of the service providers for cost recovery “have to be met through other means”, it added.

The clarification came amid speculations that UPI transactions could be charged, as a discussion paper released by the Reserve Bank of India (RBI) on August 17 sought feedback related to the subject.

As per the apex bank charges for payment services should be reasonable and competitively determined for users while also providing optimal revenue stream for the intermediaries.

The feedback received would be used to guide policies and intervention strategies.

The finance ministry emphasised on its support for the further adoption of the digital payments system while clarifying that it was not considering any service charge on UPI transactions.

Source from - https://knnindia.co.in/news/newsdetails/economy/no-proposal-for-changes-in-upi-service-charges-in-consideration-govt