§1Who it is for

  • MSMEs selling to corporates, government departments and PSUs

Useful if

MSMEs supplying CPSEs or large corporates.

Do not spend time on it if

Units selling mainly to retail customers.

§2Eligibility

  1. MSME seller registered on an RBI-authorised TReDS platform; buyer must also be on the platform.

§3Benefits

  • Convert approved invoices to cash before due date.
  • Financing is collateral-free and without recourse to the seller; banks/NBFCs bid competitively.

§4Norms — pattern of assistance

  1. Five platforms: RXIL, M1xchange, Invoicemart, C2treds, DTX.
  2. CPSEs must route all MSME invoices via TReDS and get a statutory auditor certificate on compliance.
  3. Earlier instruction: companies with turnover ₹500 crore or more to onboard TReDS (PIB 2023).
  4. Budget 2026-27 proposed CGTMSE-backed guarantee for TReDS discounting and GeM-TReDS integration.

§5Documents

Not published

The guideline does not list the documents. Ask the portal or bank before you apply — we do not make up lists.

§6How to apply

  1. 1

    Register on any of the five RBI-authorised TReDS platforms.

§7Pros and cons

Merits

  • Invoice discounting on TReDS grew from ₹40,000 crore (FY2021-22) to ₹3.47 lakh crore (FY2025-26) (PIB).
  • No collateral and no recourse to the MSME.

Demerits

  • Works only if your buyer is on TReDS and accepts the invoice.
  • Mandate covers CPSEs only; private buyers below the earlier ₹500 crore turnover instruction are not covered (PIB 2023, 2026).

→Related schemes

Need help with TReDS?

Eligibility check, DPR and application file — ask us on WhatsApp.

WhatsApp usServices

Our interestHelp is our paid service. You can also apply for the scheme yourself.

Sources

  1. PIB, 10 Jul 2026: Government mandates TReDS for settlement of all MSME invoices by CPSEs
  2. PIB explainer, 11 Aug 2026: MSME Development (Amendment) Bill, 2026
  3. PIB, 24 Jul 2023: Schemes to clear delayed payment in MSMEs (Rajya Sabha reply)
  4. PIB backgrounder, 15 Feb 2026: Union Budget 2026-27 — Building Champion MSMEs

Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.