• UPI MDR implementation: SBI is technically prepared to operationalize the 0.4% MDR on UPI payments above ₹2,000 starting October 15, noting that 96% of P2M transactions remain exempted and customers incur no charges.
• Infrastructure cost recovery: The bank views MDR proceeds not as a primary profit driver, but as a mechanism to partly offset heavy ongoing investments in cybersecurity, fraud risk management, and shared UPI infrastructure.
• Value chain expansion: Holding a 27% market share on the remitter side, SBI aims to leverage the new revenue model to selectively expand its role in merchant acquiring and PSP services via its SBI Payments joint venture and YONO app.
• Apple Pay proposal: SBI evaluated an entry proposal and commercial terms from Apple Pay prior to its partnership with Axis Bank, but decided not to participate in the ecosystem at this stage.