CURRENT AFFAIRS

Detailed explanation-1: -TReDS is an online electronic institutional mechanism for facilitating the financing of trade receivables of MSMEs through multiple financiers.

Detailed explanation-2: -TReDS is an electronic platform for facilitating the financing / discounting of trade receivables of Micro, Small and Medium Enterprises (MSMEs) through multiple financiers. These receivables can be due from corporates and other buyers, including Government Departments and Public Sector Undertakings (PSUs).

Detailed explanation-3: -It is a transparent and online auction-based Page 2 price discovery platform wherein financing has been at interest rates as low as 3.99% p.a. with the average rates between 6% p.a.- 8% p.a., resulting in reduction of interest costs for the MSMEs by almost 50% for their working capital funding.

Detailed explanation-4: -Receivables Exchange of India Ltd (RXIL), is a joint venture promoted by Small Industries Development Bank of India (SIDBI), the apex financial institution for the promotion and financing of MSMEs in India, and the National Stock Exchange of India Limited (NSE), the premier stock exchange in India.