
India to Restore UPI Merchant Fees, PhonePe Gains Most
India's government plans to amend the Payment and Settlement Systems Act to restore UPI merchant discount rates, ending the zero-MDR regime in place since January 2020.
Key Takeaways
May 4, 2026 · 2 min read · By Rishabh Bhardwaj
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Tamilaga Vettri Kazhagam (TVK), the party led by actor-turned-politician Joseph C. Vijay, has emerged as the single largest party in the 2026 Tamil Nadu Assembly elections, marking a dramatic entry for the newcomer into state power politics.
TVK was founded by Vijay, one of Tamil cinema's biggest stars, who made the transition from entertainment to electoral politics ahead of the 2026 cycle. The party's rise to the position of single largest party represents a significant shift in Tamil Nadu's political landscape, which has long been dominated by the DMK and AIADMK.
Becoming the single largest party does not automatically mean forming the government. Whether TVK can secure a majority, either on its own or through alliances, will determine whether Vijay becomes Chief Minister. That outcome depends on post-result coalition negotiations and the final seat tally, details of which are not fully available in the current report.
Tamil Nadu's 234-seat Assembly requires 118 seats for a majority. The precise seat counts for TVK and other parties have not been confirmed in available reporting, so the exact margin of TVK's lead remains unclear.
The key questions now are whether TVK has crossed the majority mark outright or needs coalition partners, and how established parties, particularly DMK and AIADMK, have performed relative to their historical strongholds. Alliance negotiations, if needed, will likely move quickly given the pressure to form a stable government. Vijay's transition from cinema icon to Chief Ministerial candidate will also draw national attention to Tamil Nadu's political realignment.

India's government plans to amend the Payment and Settlement Systems Act to restore UPI merchant discount rates, ending the zero-MDR regime in place since January 2020.
India's government has introduced the Taxation and Other Laws (Amendment) Bill, 2026, proposing changes to payments regulation, income tax, and the Finance Act to attract FDI and support Make in India. The Bill's final shape will depend on parliamentary debate and committee review.
The government's Taxation and Other Laws (Amendment) Bill, 2026, proposes to replace the blanket UPI MDR ban with a system allowing the Centre to notify which payment modes stay fee-free.
Prime Minister Narendra Modi inaugurated the Rs 5,000 crore Bhogapuram greenfield airport in Andhra Pradesh, built under a public-private partnership model. He also laid foundation stones for infrastructure projects worth nearly Rs 18,000 crore in the state, signalling a broad investment push for the region.