The TReDS platform will bring all the aforesaid participants together for facilitating uploading, accepting, discounting, trading and settlement of the invoices, bills of MSMEs.
MUMBAI: BSE Technologies Private Limited (BSE Tech), wholly owned subsidiary of BSE has received an in-principle approval from RBI for setting up and operating Trade Receivables Discounting System (TReDS) under the Payments and Settlement Systems Act, 2007.
TReDS is an electronic platform for facilitating the financing/discounting of trade receivables of Micro, Small and Medium Enterprises (MSMEs) through multiple financiers. These receivables can be due from corporates and other buyers, including Government Departments and Public Sector Undertakings (PSUs).
The TReDS platform will bring all the aforesaid participants together for facilitating uploading, accepting, discounting, trading and settlement of the invoices, bills of MSMEs. The TReDS business of BSE will commence only after the receipt of final approval and certificate of license from RBI.
In a statement, Ashishkumar Chauhan, MD & CEO, BSE said, “BSE Tech provides wide range of IT solutions focusing on commodities, banking and financial services markets. With the in-principle authorisation provided by RBI to set up TReDS, BSE Tech will now have the capability to provide an option to MSME to manage their working capital more efficiently through the TReDS platform. BSE is always at the forefront in creating the eco system around MSMEs and keeping this in view we are widening our product offering to MSMEs. We are hopeful with the launch of this TReDS platform the financing issues of MSMEs will be better addressed and contribute to their growth”
BSE Tech is an established player in e-enabling the businesses in financial services sectors. BSE Tech is a leading provider of cutting edge IT solutions with focus on Commodities, Banking and Financial Services markets in India. BSE Tech is founded and managed by a team of professionals, instrumental in setting up and operating India’s largest stock exchange. BSE Tech team is also considered to be the pioneer in introducing the exchange traded financial derivatives trading to Indian market place.