Congress attacks PM over UPI policy shift, cites US pressure

The opposition Congress party on Monday leveled fresh criticism at the government over recent policy decisions concerning the Unified Payments Interface (UPI), asserting that New Delhi has bowed to international pressure at the expense of domestic interests.

Congress leaders accused the Prime Minister of prioritizing demands from the United States over India's own economic priorities. The party specifically referenced ongoing discussions about India's zero merchant discount rate regime for UPI transactions, suggesting that proposed changes reflect American pressure rather than independent policy considerations.

The remarks underscore growing political tension over India's digital payments infrastructure at a time when UPI has emerged as a cornerstone of the country's fintech ecosystem. The Congress has sought to frame recent policy adjustments as evidence of capitulation to external pressure, particularly from Washington.

The dispute comes amid broader discussions between Indian and American officials on trade and economic matters. While the government has not formally commented on the specific allegations, the UPI system continues to witness record transaction volumes, cementing its position as the world's largest real-time payments network.

The controversy highlights the political sensitivity surrounding India's digital economy policies, with opposition parties maintaining that national interests must take precedence in formulating regulations governing the payments sector.