India, June 24 -- The RBI on Tuesday issued final directions on Trade Receivables Discounting System (TReDS) platforms with an aim to simplify the onboarding process for MSME sellers and allow financiers to avail a credit guarantee for exposures.

Trade Receivables Discounting System (TReDS) is an online platform which helps small businesses auction their invoices or trade receivables to banks and other financial institutions to unlock working capital.

"An applicant shall have a minimum net worth of Rs 25 crore and shall submit a certificate in the format from its statutory auditor," said the Reserve Bank of India (Trade Receivables Discounting System) Directions, 2026.

Existing entities authorised to operate the TReDS platform will hav...