Business Studies · Business Finance
What is the primary purpose of the TReDS (Trade Receivables Discounting System) institutional mechanism?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1To provide direct government grants for innovative research and development
- 2To offer subsidies and financial incentives for export-oriented units
- 3To facilitate the financing of MSME trade receivables from multiple financiers through discounting✓
- 4To provide long-term venture equity capital to MSMEs
Correct answer
To facilitate the financing of MSME trade receivables from multiple financiers through discounting
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