No proposal to lift costs on UPI transactions: RBI Gouverneur Malhotra

Reserve Bank -Governor Sanjay Malhotra On Wednesday (October 1, 2025) said there is no proposal to levy costs on UPI transactions.

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The Governor also said that the Central Bank is investigating a proposal to enable lenders to lock mobile phones remotely on credit in the event of standard in EMI payments.

While he responds to a question whether there is a proposal to levy costs on UPI transactions, which have risen considerably, Mr. Malhotra said there was no proposal.

“Would there be costs on Upi? Well, there is no proposal for us,” he said at a press conference after the monetary policy.

About digital locking of telephones purchased on credit, the governor said the case was being considered.

RBI deputy governor M. Rajeshwar Rao added that both advantages and disadvantages with regard to the digital locking of telephones are being investigated.

“The issue of digital locking is being investigated as the governor has noticed. There are advantages and disadvantages to both parties in terms of the balance between customer rights and requirements, data privacy and the requirements of creditors. So we will investigate the issue, we will look at … at a later time,” said Mr. Rao.

During the press conference, Mr. Malhotra and other deputy governors responded to a large number of questions, including the possibilities for interest in the coming policy and the depreciation of the rupee.

At the speed reduction, the governor said that inflation has fallen considerably, making room for monetary relaxation.

On the delivered value of the rupee to the US dollar, he said that the central bank is not focusing on a level or band, but he only tries to control inappropriate volatility.

Mr. Malhotra also expressed the confidence that the very high GDP growth process will continue with the stability of the price and the expenditure for private capital will be collected.

He said that the RBI increased GDP growth projection to 6.8% for the current tax from its earlier estimate of 6.5% due to good economic activities in the first half of 2025-26.