BLOCKCHAIN - TRANSFORM MSME TREDS FROM SMALL TO HEALTHY

Micro, Small and Medium Enterprises (MSME) plays an important role in the development of the Indian Economy. India, being an over-populated country, hasthe main problem of employment. MSME solves the problem of Unemployment by providing job opportunities at large scale, but for this, it is required that MSME, should have their financing in time, i.e, they should get their payments for their raised invoices in time. To facilitate their payments in time, RBI has opened TReDS (Trade Receivable Discounting System) where invoices are raised and are paid by the concerned buyers. To have more transparency in TReDS, RBI has introduced blockchain. An attempt in this paper has been made to find out how the application of Blockchain in TReDS will further improve the payment system for the invoices raised by MSME.