The Retailers Association of India (RAI) has raised concerns over the impact of the new Merchant Discount Rate (MDR) on certain UPI transactions, warning that the additional cost could encourage some small retailers to reconsider digital payments.

The concern comes after the introduction of a 0.4% MDR on select UPI transactions above Rs 2,000, with the charge applicable to merchants rather than consumers. The new framework is scheduled to take effect from October 15.

Retailers warn of shift towards cash

Kumar Rajagopalan, CEO of the Retailers Association of India, said the additional cost could make small merchants reconsider whether to accept UPI or cash for certain transactions. The association has warned that this could risk reversing some of the shift towards digital payments.

The concern is particularly relevant for smaller businesses operating on narrow margins, where even a relatively small transaction cost can add to operating expenses.

What the new UPI MDR means

Under the new framework, a 0.4% merchant discount rate applies to eligible UPI transactions above Rs 2,000, subject to a maximum charge of Rs 300 for the applicable category. The MDR is a merchant-side charge rather than a direct fee imposed on consumers.

The government has also stated that banks have been advised to ensure that merchants do not pass the MDR charge on to customers for UPI payments.

The change has prompted concerns from several industry groups, particularly ahead of the festive shopping season, over its potential impact on merchants and the continued adoption of digital payments.

Telangana Chief Minister Revanth Reddy on Wednesday ordered an inquiry into land linked to former chief minister K Chandrashekar Rao’s farmhouse during a debate in the state Assembly.

Reddy was speaking during a discussion on the 22-A prohibited properties list when he targeted the opposition Bharat Rashtra Samithi (BRS) and alleged that the party had sought to stall the Assembly session. He said several contentious issues, including alleged government land encroachment, fee reimbursement and drought-related concerns, were expected to come up for discussion.

Revanth Reddy orders inquiry into KCR farmhouse land

Turning his attention to KCR and his extended family, Reddy said the government had identified substantial landholdings associated with members of the former chief minister’s family and their associates.

“I am ordering an inquiry into the lands of KCR’s farmhouse,” Reddy said in the Assembly. He added that if the landholdings were found to be in violation of the law, the government would take possession of the land and distribute eligible land to Dalits.

According to figures cited by Reddy in the Assembly, KCR and his extended family members allegedly hold around 440 acres across nine districts, 24 mandals and 31 villages.

Revanth Reddy targets BRS in Assembly

During his speech, Reddy also accused the BRS of trying to disrupt the Assembly session. He referred to several issues that he said were expected to be discussed, including alleged plundering of government land, fee reimbursement and drought-related matters.

Reddy also spoke about the history of Hyderabad under the Nizam and described the Nizam government as an effective administrator while discussing the region’s historical development.

KCR’s absence from Telangana Assembly

The Monsoon session of the Telangana Assembly began on September 7 and has been marked by disruptions. Twenty-two BRS MLAs were suspended for the remainder of the session.

KCR, who is the BRS chief and Leader of the Opposition, has not attended the current session. According to the report, KCR last appeared in the Assembly in December 2025, with the ruling Congress and Revanth Reddy questioning his absence.

A Ganesh Puja organised at Belur Bazar in Howrah, near Kolkata, has sparked a controversy over its theme featuring Prime Minister Narendra Modi and Lord Ganesha together. The display has a ‘Hindu Rashtra’ theme and has attracted discussion on social media.

The display shows PM Modi and Lord Ganesha seated together, with both holding cups of tea. The arrangement represents the concept of ‘Chai Pe Charcha’, or discussion over tea.

The words ‘Hindu Rashtra’ are displayed in the background, while a map of India and a Hindu flag have also been placed nearby.

What the organiser said

The organiser, Khokan Kanra, said the theme was his personal initiative and that he has been organising the puja for a long time.

Kanra said he comes up with a different theme every year and that this year’s concept was his own idea. He also denied allegations that the theme was linked to his recent joining of the BJP.

He said his intention was not to offend any religion. According to Kanra, he portrayed Prime Minister Modi as a symbol of the nation and Lord Ganesha as a symbol of religion.

TMC criticises the theme

The theme was criticised by Trinamool Congress leader and Central Howrah MLA Arup Roy.

Roy said individuals who had recently joined the BJP were attempting to gain favour through such acts. He also said the BJP leadership and the Prime Minister might not be aware of the display and called on the district and state BJP units to take action.

BJP says there is nothing wrong

The BJP took a different position on the display.

Howrah District BJP Secretary Omprakash Singh said he saw nothing wrong with the theme. He said different kinds of pujas and themes are organised in West Bengal.

Singh also said the district BJP would discuss the matter and take action if necessary.

Row comes amid debate over puja themes

The controversy comes amid a separate debate over comments by the Vishwa Hindu Parishad regarding themes used in Durga Puja pandals.

VHP eastern region secretary Amiya Sarkar had said the organisation’s request was that Durga Puja themes should not be against Indian culture, spirituality or national morale, and that religious sentiments should not be hurt.

The Howrah Ganesh Puja display has since become a subject of discussion, with political reactions emerging from both the Trinamool Congress and the BJP.