Nirmala Sitharaman implores banks to boost RuPay, UPI infra: Sources
Reinforcing its push for cashless transactions, the Finance Ministry has asked banks to ensure that they have appropriate infrastructure in place to support RuPay and UPI modes, The Times of India reported.
This comes after Finance Minister Nirmala Sitharaman announced in November 2019 that businesses with a turnover of above Rs 50 crore would have to provide customers digital payment modes such as UPI QR codes or RuPay debit card, which will not incur merchant discount rate (MDR) fees from January.
The Department of Revenue (DoR) held meetings with industry bodies to ensure a smooth roll-out. The paper quoted an official as saying that businesses that ‘do not allow customers from taking advantage of the scheme’ would face a daily penalty of Rs
This is aimed at promoting digital transactions, which help track funds flows better and also reduce the cost of business.