New Delhi – M1xchange has become the first RBI-licensed Trade Receivables Discounting System (TReDS) platform to cross ₹1 lakh crore in annual throughput within a single financial year (FY25–26), achieving the milestone with nearly two months remaining in the fiscal.
The early crossing of the benchmark underscores the accelerating adoption of digital trade finance among MSMEs and corporates amid policy support and tighter working-capital cycles.
Rapid MSME Adoption Beyond Metros
The platform’s growth has been driven by participation from MSMEs across more than 2,500 locations nationwide, reflecting deeper penetration beyond metropolitan centres. Industry data suggests that increasing awareness of invoice discounting, coupled with simplified onboarding and digital processing, is helping smaller enterprises unlock liquidity without collateral.
M1xchange facilitates receivables financing by enabling MSMEs to discount invoices raised on corporate buyers through banks and NBFCs at competitive rates. Financiers gain access to digitally authenticated invoices, while sellers receive early payments, strengthening supply-chain cash flows.
Key contributing sectors include infrastructure, manufacturing, automotive and ancillaries, electricals and electronics, textiles, energy, and public sector undertakings.
Leadership View
Sundeep Mohindru, Promoter & Director, M1xchange, said the milestone reflects growing trust in digital receivables financing.
“Our focus has been on reducing friction in MSME financing through a fully digital experience that lowers cost of finance and improves cash-flow predictability. With TReDS emerging as a key component of India’s Digital Public Infrastructure, participation is expanding across geographies,” he said.
Scale and Ecosystem Expansion
Since inception, M1xchange has enabled cumulative invoice discounting of over ₹2.65 lakh crore. The platform currently connects over 70,000 MSMEs with 5,000+ corporate buyers and more than 70 banks and NBFCs.
The growth also aligns with recent Union Budget announcements aimed at strengthening MSME liquidity. Policy measures such as proposed credit guarantees for invoice discounting and deeper integration of government procurement platforms like GeM with TReDS are expected to widen participation and improve access to working capital, particularly in Tier-2 and Tier-3 cities.
M1xchange has also introduced a Small-to-Small (S2S) financing model, expanding TReDS coverage to smaller enterprises transacting with each other — a move that broadens the formal credit ecosystem.
With sustained policy support, improved compliance from corporates, and growing financier participation, invoice discounting volumes are expected to maintain momentum through the remainder of FY26.
