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Kolkata Restaurants Shift to Cash After New UPI Rule

The Reserve Bank of India’s latest UPI guidelines have unsettled many Kolkata eateries, prompting them to reconsider digital payment acceptance. With the new rule tightening conditions for UPI transactions, restaurateurs are now offering cash incentives and reducing reliance on electronic modes. Industry insiders say the change could alter customer habits and impact the city’s food‑service revenue streams.

Kolkata Restaurants Shift to Cash After New UPI Rule
Kolkata Restaurants Shift to Cash After New UPI RulePhoto via Times of India — Kolkata

The RBI’s newly announced UPI regulations have caused a stir among Kolkata’s dining establishments.

Many restaurants now plan to encourage cash payments, offering small discounts or complimentary items to patrons who settle bills in cash. The shift is driven by concerns that the revised UPI rules could increase processing costs or limit transaction flexibility.

While some chefs and owners worry about potential revenue loss, others see an opportunity to manage cash flow more directly and reduce exposure to digital payment disputes.

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