RBI to ease MSMEs' onboarding on TReDS by removing checks
Business
The Reserve Bank of India (RBI) is planning to simplify how micro, small, and medium enterprises (MSMEs) join TReDS platforms, basically digital marketplaces where businesses can turn their unpaid invoices into instant cash.
By dropping the usual onboarding checks, RBI hopes more MSMEs will sign up and get working capital without needing any collateral.
RBI to rework TReDS rules
TReDS has been around since 2014, but hasn't really caught on because many MSMEs aren't fully digital yet.
To fix this, RBI is reworking the rules and will soon ask for public feedback on its proposed changes.
Plus, in FY27, big government companies might have to use TReDS for their payments, setting a new standard for business transactions in India.