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Centre directs 36% of defaulter CPSEs to join TReDS platform

The number of CPSEs registered on the RXIL platform is 110, whereas more than 50 CPSEs have registered on the M1xchange

CPSEs
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Last month, Finance Minister Nirmala Sitharaman said the Centre would take adequate measures to clear pending dues to MSMEs and would ensure that the central government departments and CPSEs make payments to the MSMEs in 90 days.

Nikesh Singh New Delhi
The finance ministry has directed 92 operating central public sector enterprises (CP­SEs) that have not onboarded the trade receivables discounting system (TReDS) despite the government’s mandate to do so.

TReDS is an institutional mechanism set up in order to facilitate the discounting of invoices for micro, small, and medium enterprises (MSMEs) from CPSE and corporate buyers through multiple financiers. Invoice discounting on TReDS involves three participants — MSME supplier, corporate/CPSE buyer, and financier. The invoice is uploaded by either buyer or supplier depending on the method of discounting and is approved by the other party. Once the invoice is approved, the

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First Published: Oct 27 2022 | 11:32 PM IST

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