# RBI says MDR talks premature as Congress questions UPI bill 2026-08-07T21:07:06+00:00 | Governance | Indian Opinion Desk Corroboration: 1 independent outlet RBI Governor Sanjay Malhotra called discussions on Merchant Discount Rate (MDR) for digital payments premature, urging stakeholders to wait and watch. He said investment in public payment infrastructure requires someone to pay, either taxpayers through taxes or merchants through MDR under a user-pays model. The government is moving amendments to statutes governing digital payments, which could enable MDR. Congress leader Jairam Ramesh hit back at Finance Minister Nirmala Sitharaman, arguing the Taxation and Other Laws (Amendment) Bill removes the statutory zero-MDR guarantee for UPI. Ramesh claimed merchants inevitably pass transaction costs to consumers, and that government assurances are no substitute for legal safeguards. He also questioned the timing, pointing to US pressure on India's digital payments ecosystem. ## Coverage - rediff.com - thefederal.com Tags: digital payments, e-rupee, MDR, RBI, Sanjay Malhotra, UPI Canonical: https://indianopinion.org/rbi-governor-calls-mdr-talk-premature-on-digital-payments/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/rbi-governor-calls-mdr-talk-premature-on-digital-payments/#story-in-brief Review state: restored archive article, accurate at time of publication, not offered to search indexes.