The Deputy Governor noted that TReDS addresses the credit gap of MSMEs estimated at around Rs 52.2 trillion (Rs 52 lakh crore) by connecting them with banks and clients, with a reduction in funding costs up to 2.5 percentage points
Debabrata also highlighted the upcoming Unified Lending Interface (ULI) by the RBI on the lines of UPI. (Image: Reuters)
The value of invoices financed through the invoice discounting platform TReDS (operational since 2017) has surged more than 23 times, said Michael Debabrata Patra, Deputy Governor, Reserve Bank of India (RBI) on Wednesday. Addressing an event on digital technology and economic growth in Jaipur, Debabrata said around 5,000 active fintech companies are involved as of October 2024 in providing various financial and technical solutions to businesses, including MSMEs, helping businesses better manage their operations and improve supply chain finance.
The Deputy Governor noted that TReDS addresses the credit gap of MSMEs estimated at around Rs 52.2 trillion (Rs 52 lakh crore) by connecting them with banks and clients, with a reduction in funding costs up to 2.5 percentage points.