The State Cabinet has notified the introduction of Trade Receivables Discounting System (TReds) platform for micro, small and medium enterprises (MSMEs) that will enable them to get paid for supply of goods and services without delay.
The notification will allow government departments, public sector enterprises, companies, local self-government bodies, societies, and cooperatives to settle bills for MSMEs on the platform.
Over 150 banks and financial institutions are involved in the process, which has been notified by the Reserve Bank of India, said M. Khalid, president, Kerala State Small Industries Association. He termed the initiative a huge step towards supporting the industry.
