UPI MDR to bring Paytm up to Rs 700 crore windfall

Paytm expects to earn up to Rs 700 crore in a full financial year from the new UPI merchant discount rate, CFO Madhur Deora said on the Q2 FY27 call. NPCI has notified a 0.4% MDR on person-to-merchant UPI payments above Rs 2,000, effective December 8, with the benefit potentially reaching Rs 900 crore by FY28.

• 0.4% MDR on P2M UPI payments above Rs 2,000 takes effect December 8
• At Rs 28 lakh crore GMV, 2.5 bps translates to about Rs 700 crore in EBITDA
• Paytm holds 8.1% of UPI volumes vs PhonePe's 45.6% and Google Pay's 32.2%
• Company targets a one-third share of consumer UPI payments without cashback