World · India Bureau
Madhya Pradesh traders protest UPI charges with 'No UPI Day' demonstration
Merchants across Madhya Pradesh have organized a coordinated protest against proposed merchant discount rates on digital payments, covering QR codes and urging customers to use cash instead.
LSN India ·
Traders in Madhya Pradesh staged a demonstration on Wednesday, observing a 'No UPI Day' to oppose a planned 0.4 percent merchant discount rate (MDR) on UPI transactions exceeding 2,000 rupees. The protest saw merchants across multiple cities take direct action against the proposed digital payment charges.
In Bhopol, the state capital, traders covered QR code displays at retail outlets, effectively preventing digital transactions. The movement gained traction in commercial hubs including Indore and Gwalior, where shopkeepers appealed to customers to make cash payments instead of using digital wallets or banking apps.
The merchant community has voiced concerns that the proposed MDR structure would increase operational costs and reduce profit margins on transactions. The protest reflects growing resistance among small and medium-sized traders to additional levies on cashless transactions, which have become increasingly common following India's digital payment push in recent years.
The demonstration underscores the ongoing tension between government efforts to promote digital economy adoption and merchant concerns about the financial viability of accepting electronic payments at the point of sale.