M1NXT and YES BANK Partner for Cross-Border Export Factoring for Indian Exporters

The International Financial Services Centres Authority (IFSCA)-authorised International Trade Financing Services (ITFS) platform M1NXT has partnered with YES BANK to offer cross-border factoring solutions, starting with services for Indian exporters.

As part of the collaboration, YES BANK has successfully executed its first export finance transaction for a Hyderabad-based engineering component manufacturer. The transaction involved goods supplied to a Fortune 500 buyer in the United States and its subsidiary in Mexico, marking an early milestone for the partnership.

The initiative is expected to extend export receivables factoring access to over 1,500 anchors registered on the M1xchange TReDS platform. By enabling exporters to access working capital without relying on traditional instruments such as documentary letters of credit, the solution aims to improve liquidity and streamline financing processes. It also helps mitigate risks associated with delayed payments and buyer insolvency, while allowing exporters to offer more competitive trade terms globally.

The partnership reflects a broader push toward digital transformation in trade finance. By leveraging a secure and regulated platform, both entities aim to enhance access to trade liquidity and reduce friction in cross-border transactions.

Sundeep Mohindru, Promoter and Director of Mynd Group, said the M1NXT platform is designed to provide exporters with transparent and efficient access to working capital, particularly through digitally delivered, without-recourse export factoring solutions. He added that the collaboration with YES BANK strengthens supply chain finance channels and aligns with the vision of delivering cost-effective financing for global trade.

Ajay Rajan, Country Head for Transaction Banking at YES BANK, noted that the partnership underscores the bank’s focus on empowering SMEs through digitalisation and expanding cross-border financing capabilities. He highlighted that such collaborations support innovative financial solutions and contribute to India’s ambition of becoming a global trade finance hub.

Building on the success of M1xchange, which has financed over ₹2.6 lakh crore worth of invoices for more than 70,000 MSMEs since 2017, M1NXT ITFS aims to replicate similar efficiencies in international trade. Operating out of GIFT City, the platform facilitates working capital access for exporters through partnerships with global banks and financial institutions, while also enabling lenders to meet priority sector lending targets.