Fintech Stocks Rally On Report Of 40 Basis Point MDR On UPI, Paytm Touches 52-Week High

by · Inc42

SUMMARY

  • Pine Labs’ stock surged 16.9%, Mobikwik gained over 8%, AvenuesAI jumped 6.1%, and Paytm’s stock gained 3.9% after reports suggesting that MDR fees on UPI transactions could soon be notified
  • The proposal could unlock a revenue stream of around ₹5,000-10,000 Cr for payments platforms like the four aforementioned companies, per an earlier research note by Jefferies
  • MDR fees are likely to be set at around 40 bps of the transaction value for P2M UPI transactions, with third-party app providers receiving roughly 12 bps