Contact Your Financial Adviser Money Making MC
24Th Aug 2016
The Reserve Bank of India (RBI) is
preparing a framework to provide accreditation to credit counsellors for
facilitating easy flow of credit to the MSMEs (Micro, Small and Medium
Enterprises), its Deputy Governor S.S. Mundra said here on Tuesday. The Total Investment
& Insurance Solutions
"For bridging the information
asymmetry on the MSME borrowers side, RBI is initiating a process for putting
in place a framework for accreditation of credit counsellors who are expected
to serve as facilitators and enablers for micro and small entrepreneurs,” Mundra
said at the 2nd national conference on MSME funding organised by the
Confederation of Indian Industry (CII).
“Since MSMEs are typically
enterprises with little credit histories and with inadequate expertise in
preparing financial statements, credit counsellors will assist the borrowers in
preparing their project reports and also help banks make better informed credit
decisions,” he added.
Mundra said that RBI is also in the
process of issuing final guidelines on P2P (peer to peer) lending in the MSME
sector.The
Total Investment & Insurance Solutions
"New players have entered the
MSME lending landscape in form of P2P companies. RBI has been mindful of a need
to regulate these entities without stifling their ability to innovate and is
currently in the process of issuing final guidelines on P2P lending,” he said.
“These entities use an online
platform to match lenders with borrowers to provide unsecured loans and mostly
for receivables financing,” he said.
Mundra said that P2P lending has
great potential as an alternative form of low-cost finance as it can reach to
the needy where formal sources are unable to reach or unwilling to lend.
In order to solve the problem of
delayed payment to MSMEs, RBI has licensed three entities for operating the
Trade Receivables Discounting System (TReDS).
“The system (TreDS) would facilitate
the financing of trade receivables of MSME enterprises from corporate and other
buyers, including government departments and public sector undertakings (PSUs)
through multiple financiers,” he said.
The objective is to create
Electronic Bill Factoring Exchanges which could electronically accept and
settle bills so that MSMEs could encash their receivables without delay, he
added.
It is expected that the TReDS will
commence operations within this current fiscal.
“It would be important that the use
of TReDS is made mandatory for, to begin with corporate and PSUs and later for
the government departments,” Mundra said.The Total Investment & Insurance
Solutions
No comments:
Post a Comment