India's ATM industry wins battle for interchange increase

National Payments Corp. of India has decided that Indian banks and white label deployers may implement an increase of between 1.5 rupees and 2 rupees ($0.01 to $0.03) in their ATM interchange rates.

According to a report by Business Standard, deployers may now charge from 15 to 17 rupees ($0.22 to 0.24) for an ATM transaction. Independent operators had sought an upper limit of 18 rupees ($0.26), but said the approved increase was «better than nothing.»

India's 15 rupee interchange rate has not changed in six years; the Confederation of ATM industries of India, an organization representing the white label sector, has said the stagnant rate has depressed new ATM installations across the country, because it did not cover costs of operating a white label business.

CATMi expressed optimism the increased interchange rate will encourage industry growth.

Source: ATM Marketplace