India’s digital payments system an ‘envy of the world’: Nirmala Sitharaman

Her comments followed opposition to new UPI transaction charges, aimed at enhancing the payment system's financial sustainability.

Union finance minister Nirmala Sitharaman on Wednesday described India’s digital payments system as a global success, amid a political row over the Centre’s decision to introduce charges on some UPI transactions.

“As much as the digital is a success, you see the numbers of NPCI (National Payments Corporation of India), it’s an envy of the world,” Sitharaman said at the Eighth International Tax Conference in Bengaluru.

Her remarks came a day after the government faced opposition over the new UPI fee framework. The changes allow a 0.4% Merchant Discount Rate on merchant transactions above ₹2,000, while smaller transactions and person-to-person payments remain outside the charge.