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Topic 183 · Economy, Budget & Banking

UPI abroad and the 2026 charge-free rule change

10 MCQs · tap an option to check it · All answers

Revise the 12 points first Book 1 RATNA
  1. Core Trigger: The Lok Sabha passed the Taxation and Other Laws (Amendment) Bill, 2026 on 6 August; the Rajya Sabha returned it on 10 August.
  2. Key Change: Section 10A of the Payment and Settlement Systems Act now bars charges only on modes the Centre notifies, enabling a merchant fee.
  3. Current Head: Finance Minister Nirmala Sitharaman said small merchants will pay no merchant fee; person-to-person UPI stays free.
  4. Key Numbers: UPI handled 24,161.69 crore transactions worth Rs 314.23 lakh crore in FY 2025-26.
  5. Data Point: A June 2025 IMF note called UPI the world's largest retail fast-payment system by volume.
  6. Agreements: NIPL partnered the Bank of Namibia (May 2024), Peru's central bank (June 2024) and Trinidad and Tobago (September 2024).
  7. India Link: By 6 February 2026 UPI was live in over eight countries; India had digital-infrastructure agreements with 23.
  8. Headquarters: NPCI, the UPI operator, is headquartered in Mumbai; its MD and CEO is Dilip Asbe.
  9. Founded: NPCI was incorporated on 19 December 2008; UPI launched on 11 April 2016 with 21 banks.
  10. Landmark: Since 1 January 2020 RuPay debit and BHIM-UPI have carried zero merchant fee.
  11. Articles: Article 110 defines a Money Bill; Article 109(2) requires the Rajya Sabha to return it within fourteen days.
  12. Definition: The merchant discount rate is the fee a merchant's bank charges the merchant per payment.
Question 1 of 10

The Rajya Sabha returned the Taxation and Other Laws (Amendment) Bill, 2026 on which date?

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Answer: (B) 10 August

Core Trigger: The Lok Sabha passed the Taxation and Other Laws (Amendment) Bill, 2026 on 6 August; the Rajya Sabha returned it on 10 August.From Book 1 RATNA, topic 183, point 1

Question 2 of 10

Which section of the Payment and Settlement Systems Act was amended to enable a UPI merchant fee?

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Answer: (D) Section 10A

Key Change: Section 10A of the Payment and Settlement Systems Act now bars charges only on modes the Centre notifies, enabling a merchant fee.From Book 1 RATNA, topic 183, point 2

Question 3 of 10

Who said small merchants will pay no merchant fee on UPI?

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Answer: (B) Nirmala Sitharaman

Current Head: Finance Minister Nirmala Sitharaman said small merchants will pay no merchant fee; person-to-person UPI stays free.From Book 1 RATNA, topic 183, point 3

Question 4 of 10

UPI handled 24,161.69 crore transactions in FY 2025-26 worth how much?

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Answer: (D) Rs 314.23 lakh crore

Key Numbers: UPI handled 24,161.69 crore transactions worth Rs 314.23 lakh crore in FY 2025-26.From Book 1 RATNA, topic 183, point 4

Question 5 of 10

Which institution's June 2025 note called UPI the largest retail fast-payment system by volume?

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Answer: (B) IMF

Data Point: A June 2025 IMF note called UPI the world's largest retail fast-payment system by volume.From Book 1 RATNA, topic 183, point 5

Question 6 of 10

NIPL partnered the central bank of which country in May 2024?

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Answer: (B) Namibia

Agreements: NIPL partnered the Bank of Namibia (May 2024), Peru's central bank (June 2024) and Trinidad and Tobago (September 2024).From Book 1 RATNA, topic 183, point 6

Question 7 of 10

NPCI, the UPI operator, is headquartered in which city?

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Answer: (C) Mumbai

Headquarters: NPCI, the UPI operator, is headquartered in Mumbai; its MD and CEO is Dilip Asbe.From Book 1 RATNA, topic 183, point 8

Question 8 of 10

Consider: 1. NPCI was incorporated on 19 December 2008. 2. UPI launched on 11 April 2016 with 12 banks. Which is/are correct?

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Answer: (A) Only 1

Founded: NPCI was incorporated on 19 December 2008; UPI launched on 11 April 2016 with 21 banks.From Book 1 RATNA, topic 183, point 9

Question 9 of 10

Since 1 January 2020 RuPay debit and BHIM-UPI have carried zero what?

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Answer: (C) Merchant fee

Landmark: Since 1 January 2020 RuPay debit and BHIM-UPI have carried zero merchant fee.From Book 1 RATNA, topic 183, point 10

Question 10 of 10

Consider: 1. Article 110 defines a Money Bill. 2. Article 109(2) gives the Rajya Sabha thirty days to return it. Which is/are correct?

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Answer: (A) Only 1

Articles: Article 110 defines a Money Bill; Article 109(2) requires the Rajya Sabha to return it within fourteen days.From Book 1 RATNA, topic 183, point 11

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