To ease the flow of credit to its micro, small and medium enterprise (MSME) customers, Jana Small Finance Bank has tied up with the three Trade Receivables Discounting System (TReDS) platforms, namely M1xchange, RXIL, and A.TReDS. These platforms have been set up by the Reserve Bank of India (RBI) to resolve the credit challenges of MSME suppliers by enabling discounting of their invoices and bills of exchange. Consequent to this tie-up, these MSMEs can access credit by posting their trade receivables on the system and getting them financed via an auction mechanism where financiers will bid on invoices accepted by PSUs and corporate buyers.
