Delhi, October 30, 2026: Invoice financing volumes during India’s 2026 festive season surpassed ₹20,000 crore, marking a 33% year-on-year increase as MSMEs increasingly turned to formal credit, according to the latest Festive Insights Report by M1xchange.
The report highlights a significant shift in the supply chain ecosystem, with Micro-MSMEs emerging as the fastest-growing adopters of formal invoice discounting. Financing for the Micro segment more than doubled year-on-year, reaching approximately ₹3,000 crore during the 2025 festive period.
Strong growth in daily festive financing
Average daily festive financing rose over 40% compared to the previous year, with M1xchange projecting overall festive season financing to grow by about 30% in 2026. As of October 28, 2026, throughput during the current festive period had already exceeded the entire previous year’s festive volume, with several days of peak activity still to come.
Micro-MSMEs drive formal credit adoption
Sundeep Mohindru, Founder and Promoter of M1xchange, said the 100% surge in Micro-MSME financing demonstrates the increasing democratization of formal credit. He noted that TReDS platforms are enabling micro and small enterprises to convert unpaid invoices into working capital, allowing them to scale operations and integrate into national supply chains during peak demand periods.
Sector-wise trends and emerging segments
The Festive Insights Report also examined sector-wise invoicing trends from 2023 to 2025. Consumer Durables saw an average festive-period invoicing increase of 28% over the pre-festive period, followed by Chemicals at 27%, FMCG at 20%, and Metals & Mining at 19%. E-Retail and E-Commerce sectors recorded more than 100% growth, while the Paints sector also experienced a sharp surge, though from a smaller base.
M1xchange is an RBI-licensed Trade Receivables Discounting System (TReDS) platform operating in India.
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