TReDS, a platform for MSMEs to finance trade receivables, is flourishing in southern India. M1xchange, a key player, saw a 65% increase in transactions, reaching ₹5,600 crore last fiscal. Over 600 cities in South India are using TReDS, with a concentration in cities like Bangalore, Chennai, and Hyderabad. Transactions are entirely digital, initiated when suppliers raise invoices and buyers validate them. Financiers bid on approved invoices, with payments disbursed within 24 hours once accepted. This provides MSMEs access to credit without collateral at low interest rates (7-10% per annum). Banks have decentralized TReDS operations, leading to quicker credit approvals. NBFCs are also expanding their presence on the platform. Sundeep Mohindru, CEO of M1xchange, noted that the financing process has significantly shortened, thanks to bank and NBFC support and technological advancements, including a mobile app for convenient transactions.