SIDBI sets up crisis responsive fund

Chennai: Small Industries Development Bank of India (SIDBI) has announced setting up ‘Swavalamban Crisis Responsive Fund’ to support free onboarding of MSMEs on Trade Receivables Discounting System (TReDS).

“Receivables Exchange of India Ltd. (RXIL), M1xchange and Invoicemartare three TReDS platforms which help MSMEs gain access to working capital through invoice discounting via multiple financiers,” said a press note.

According to Mohammad Mustafa, Chairman and Managing Director of SIDBI, “The present endeavor under Swavalamban Resource Facility, where SIDBI partners with Department for International Development (DFID) UK, is yet another differentiated intervention by the bank. It aims at offering relief to the MSMEs during these challenging times. We are hopeful that MSMEs shall maximise this opportunity to onboard TReDS, thus getting much needed breather from squeezed/severely crunched cash flow.”

 

NT Bureau