Bank of India signs pact with RXIL as TReDS partner for discounting invoices of MSMEs
Ludhiana, Jan 11 (KNN) Bank of India (BOI) has signed a pact with Receivables Exchange of India Ltd (RXIL) as a TReDS (Trade Receivables Discounting System) partner for discounting invoices of MSMEs on digital platform.
The Memorandum of Understanding (MoU) in this regard was signed earlier this week by Swarup Dasgupta (GM, MSME –BOI) and Kashinath Katakdhond (MD & CEO –RXIL) in the presence of Dinabandhu Mohaptra (MD & CEO - BOI), Neelam Damodharan (Executive Director –BOI) and Chaitanya Gayatri Chintapalli (Executive Director –BOI).
Highlighting the importance of the MSME sector, Mohapatra (MD & CEO – BOI), spoke about the innovative efforts taken by government in this regard, including setting up of TReDS Platform.
Katakdhond (MD & CEO – RXIL) talked about the benefits available to MSME customers & Bank while transacting on the TReDS Platform.
RXIL is a joint venture between SIDBI & NSE, set up to operate a TReDS Platform for factoring of invoices of the MSMEs in compliance of guidelines issued by RBI.
TReDS is a digital platform to help MSMEs to get their trade receivables financed at a competitive rates through an auction mechanism. This will allow MSMEs to have easy and hassle free access to finance and prompt realization of their receivables. (With Inputs from a media report)