The New Indian Express ·
NSE fears short-term volume hit due to MDR: Ashish Chauhan
MUMBAI: With the government giving its go-ahead to charge merchant discount rates (MDRs) on merchant transactions above Rs 2,000, the National Stock Exchange (NSE) fears the charges will hit its transaction volume, at least in the short-term.
The IPO-bound exchange, which leads the market volume to the tune of almost 97%, also said the anchor demand for its public issue opening for retail subscription from Thursday has seen stronger-than-expected demand, despite the issue size being revised down to Rs 22,562 crore from Rs 31,800 crore, which would have made it the largest issue on record, but is now behind Hyundai’s Rs 27,870 crore.
"There may be some impact initially on our transaction volumes in the short term due to the MDR charges above Rs 2,000. After some time, I hope it normalises," NSE chief executive Ashishkumar Chauhan said here on Tuesday.