Synopsis TReDS was supposed to be a game changer-a platform that could sort out the issue of delayed payments for MSMEs. Almost five years later, the achievements may have fallen short.
If fundraising has been a perennial problem for the country’s small business, the other serious issue is related to delayed payments. The problem was so acute that MSME Minister Nitin Gadkari pegged the outstanding payments to MSMEs by government agencies, public sector undertakings, and major industries at an estimated Rs 5 lakh crore last year.
For the financially starved MSMEs, unpaid dues are a serious strain on their working capital. This