New Delhi, Oct. 30 -- The India Fintech Foundation (IFF) on Thursday submitted a policy recommendation note to the Finance Ministry and the Reserve Bank of India (RBI) to address the concentration risk in the Unified Payments Interface (UPI) ecosystem. In its note, the fintech body highlighted the dominance of two Third-Party Application Providers (TPAPs), which control over 80% of UPI transactions.

India Fintech Foundation (IFF), the proposed self-regulatory organisation (SRO) for the fintech industry, was launched at the Startup Mahakumbh in April.

IFF alleged that the duopoly of the two leading TPAPs has led to predatory pricing practices, entry barriers for new players, and stifled innovation, particularly affecting smaller and indi...