ICICI Bank executes India’s 1st digitised invoice discounting on RXIL
January 11, 2017
Mumbai: ICICI Bank Ltd, India’s largest private sector bank by consolidated assets, announced that it has successfully executed the country’s first digitised invoice discounting transaction on the “Receivables Exchange of India Limited” (RXIL), India’s first TReDS (Trade Receivables Discounting System) exchange.
Commenting on the initiative, Ms. Chanda Kochhar, MD & CEO, ICICI Bank said, “I believe that MSMEs are engines of growth and employment generation in the country. To further their cause, we are proud to be among the key shareholders of RXIL, India’s first TReDS based exchange, to provide digital and convenient access to working capital for MSMEs. We are also delighted to have executed the country’s first ever online discounting of an invoice on this platform. I believe that this initiative, conceptualised by the Govt. of India and RBI, will go a long way to meet the twin objectives of providing access to working capital and reduced costs for MSMEs. I wish RXIL all the very best for its future endeavors and envision that it will play an active role in helping grow the MSMEs.”
The bank discounted online, a digital invoice uploaded by Ashoka Drugs & Chemicals on RXIL for its supplies to Greenlam Industries Ltd which the latter accepted online as well.
The transaction marks the beginning of providing convenient access to working capital in the country at reduced costs for MSMEs through online discounting of invoices raised by them to their corporate customers. The bank will continue to act as a financier in RXIL and offer working capital finance to MSMEs through invoice discounting.
ICICI Bank services its large customer base through a multi-channel delivery network of 4468 branches, 14,295 ATMs, call center, internet banking (www.icicibank.com), mobile banking and social media banking (as at September 30, 2016).
About ICICI Bank: ICICI Bank Ltd (NYSE:IBN) is India’s largest private sector bank by consolidated assets. The Bank’s consolidated total assets stood at US$ 144.7 billion at September 30, 2016. ICICI Bank's subsidiaries include India's leading private sector insurance, asset management and securities brokerage companies, and among the country’s largest private equity firms. It is present across 17 countries, including India.
Except for the historical information contained herein, statements in this release, which contain words or phrases such as 'will', 'would', etc., and similar expressions or variations of such expressions may constitute 'forward looking statements'. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. These risks and uncertainties include, but are not limited to our ability to obtain statutory and regulatory approvals and to successfully implement our strategy, future levels of non-performing loans, our growth and expansion in business, the adequacy of our allowance for credit losses, technological implementation and changes, the actual growth in demand for banking products and services, investment income, cash flow projections, our exposure to market risks as well as other risks detailed in the reports filed by us with the United States Securities and Exchange Commission. ICICI Bank undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date thereof. All reference to interest rates, penalties and other terms and conditions for any products and services described herein are correct as of the date of the release of this document and are subject to change without notice. The information in this document reflects prevailing conditions and our views as of this date, all of which is expressed without any responsibility on our part and is subject to change. In preparing this document, we have relied upon and assumed, without independent verification, the accuracy and completeness of all information available from public sources. ICICI Bank and the "I man" logo are the trademarks and property of ICICI Bank. Any reference to the time of delivery or other service levels is only indicative and should not be construed to refer to any commitment by us. The information contained in this document is directed to and for the use of the addressee only and is for the purpose of general circulation only.