SIDBI is setting up ‘Swavalamban Crisis Responsive Fund’ to support free onboarding of MSMEs on Trade Receivables Discounting System (TReDS). Receivables Exchange of India, M1xchange and Invoicemart are the 3 TReDS platforms, which help MSMEs gain access to working capital through invoice discounting via multiple financiers. Mohammad Mustafa, CMD of SIDBI said the government has been taking several steps to strengthen the MSME ecosystem and to implement several government initiatives towards quick response to the covid fallout. He said setting up Swavalamban Crisis Responsive Fund, under Swavalamban Resource Facility, where SIDBI partners with the Department for International Development (DFID) UK, is yet another differentiated intervention by the bank. The fund would be utilized to partially offset the cost of joining/registration fee on the TReDS platform and support the TReDS companies to ensure free onboarding charges for MSMEs.
