JP Morgan says UPI MDR could lower cross border costs
JP Morgan says adding a small Merchant Discount Rate (MDR) to UPI transactions could make sending money across borders way cheaper and more appealing than using cards or cash.
Max Neukirchen, the bank's co-head of JP Morgan Global Payments, called it "Where the 40-basis-point charge applies, it is still cheaper than most alternatives. Card payments cost more. Even cash has higher costs because businesses need to hold cash and face the risk associated with it," said Max Neukirchen, co-head of JP Morgan Global Payments.
JP Morgan linking UPI and IMPS
JP Morgan is working to link Indian payment systems like UPI and IMPS with its worldwide network, aiming to make it easier for clients to move payments and money in and out of the country.
The bank also sees big potential in India's payment technology for moving money globally and supporting businesses as supply chains shift.