KredX, India’s largest supply chain finance platform, has received the Reserve Bank of India’s (RBI) final approval to commercially launch its Trade Receivables Discounting System (TReDS) platform under the brand name DTX (Domestic Trade Exchange). With this approval, KredX becomes the fifth RBI-regulated TReDS platform in India, marking a pivotal step in its mission to transform supply chain financing in the country.
The TReDS platform is a government-mandated initiative aimed at addressing the perennial challenge of delayed payments and working capital gaps in the Micro, Small, and Medium Enterprise (MSME) sector. By enabling the discounting of trade receivables on an electronic platform, TReDS fosters transparency, ensures timely payments, and improves liquidity for MSMEs. This is critical in a sector where cash flow disruptions often hinder growth.
The launch of DTX by KredX is expected to accelerate compliance, drive adoption, and contribute significantly to building sustainable supply chains. DTX leverages KredX’s advanced technology infrastructure to offer a seamless and user-friendly experience tailored for the MSME sector. The platform provides a comprehensive suite of financial solutions, including early payments, accounts payable and receivable financing, and process automation. This full-stack approach empowers businesses to:
- Enhance cash flow management.
- Build resilient and sustainable supply chains.
- Achieve operational efficiency.
- Ensure compliance with regulatory requirements.
Founded in 2015, KredX has been at the forefront of supply chain finance, working with over 70,000 MSME suppliers and large corporations. The company’s regulatory approval to launch DTX adds to its growing list of accomplishments, including being one of the first firms to receive an International Financial Services Centre Authority (IFSCA) license for cross-border trade finance (GTX).
With both domestic (DTX) and global (GTX) trade finance platforms, KredX is uniquely positioned to address the needs of businesses across borders, creating a “Full Stack Trade Finance Platform” that integrates technology with regulatory compliance to empower businesses worldwide.
Manish Kumar, CEO & Co-founder of KredX said, “Securing the TReDS license marks a transformative milestone in KredX’s journey, underscoring our commitment to empowering MSMEs with cutting-edge financial solutions. This achievement is not only a testament to our relentless focus on innovation but also aligns with the government’s vision to enhance transparency within the MSME’s payments and financing ecosystem.” He added, “With recent mandates requiring companies with a turnover of ₹250 crore or more to register with TReDS, our platform, DTX, is strategically positioned to drive compliance and accelerate adoption across the country.”
Anurag Jain, Co-founder & Executive Director at KredX said, “TReDs licence is a testimony to the deep impact KredX has made on the MSME landscape in India in the last 10 years. With a blend of global trade platform (GTX licensed by IFSCA), domestic trade platform (DTX licensed by RBI) and technology solutions for Indian & global businesses, KredX is now well positioned with its “Full Stack-Trade finance platform” model to empower millions of businesses with working capital solutions across the globe.” He added, “With proposed integrations with other public platforms, we expect TReDS transaction volumes to rise to around $50B annually by 2026 from around $30B annually as of today. There is a huge potential to broaden the scope of financiers and businesses on TReDS platforms adding to the potential impact by these platforms.”
About KredX: www.kredx.com
Founded in 2015 in Bangalore by Manish Kumar and Anurag Jain, KredX is India’s largest supply chain finance platform accelerating finance through the use of cutting-edge technology and data. The company offers a host of customizable solutions ranging from enterprise finance and cash flow management solutions to working capital and channel financing solutions for businesses, large and small, operating within the supply chain ecosystem while offering unique alternative debt investment solutions to investors worldwide. Through the use of reliable technology to accelerate customer growth, the company aims to become the world’s fastest operating system for supply chain finance.
