Module: General Practice
Q8: Scenario: A Central Public Sector Enterprise (CPSE) is procuring goods worth Rupees 50 Lakh from a registered Micro Enterprise. Under the new mandatory provisions announced in Budget 2026-27 to ensure timely payments, which platform must the CPSE utilize for the transaction settlement?
✅ Correct Answer: B
The Union Budget 2026-27 has mandated the use of TReDS for all procurements by CPSEs from MSMEs.
To solve the issue of delayed payments, CPSEs are now legally required to settle transactions via the Trade Receivables Discounting System (TReDS) platform.
This allows MSMEs to auction their invoices to financiers and receive immediate cash, improving liquidity.
To solve the issue of delayed payments, CPSEs are now legally required to settle transactions via the Trade Receivables Discounting System (TReDS) platform.
This allows MSMEs to auction their invoices to financiers and receive immediate cash, improving liquidity.