India Exim Finserve partners with M1 NXT to strengthen export finance

In a strategic effort to bolster cross-border trade financing, India Exim FinServe IFSC Pvt. Ltd. has partnered with M1 NXT, the International Trade Financing Services (ITFS) platform operated by M1xchange. This collaboration is designed to support Indian exporters — particularly small and medium-sized enterprises (MSMEs) — by offering efficient receivables financing solutions. The initiative aims to improve liquidity, minimise trade-related risks, and facilitate broader access to international markets.

The partnership is rooted in open account trade finance solutions, originating from GIFT City, India’s rising international financial hub. The alliance is especially timely, given the expanding need for collateral-free, risk-mitigated export financing.

With India’s MSME export sector recording impressive growth—exports reached INR 12.39 lakh crore (US$147bn)) in 2024–25, and more than 173,000 MSME exporters have been active since 2020–21—the collaboration directly addresses the pressing global MSME credit shortfall, estimated at US$5.7tn. Through structured export factoring, Exim Finserve and M1 NXT aim to close this financing gap and enable small exporters to scale operations internationally.

The partnership’s first transaction involved the financing of agrochemical exports from Parijat Industries (India) Pvt. Ltd. to a buyer based in the United States. This transaction, conducted via export factoring, marks Exim Finserve’s first successful deal on an ITFS platform and reflects the increasing momentum of fintech-enabled trade finance solutions emerging from GIFT City.

The collaboration significantly enhances M1 NXT’s ability to provide Indian exporters—especially SMEs—with streamlined access to working capital and efficient financial services. It also reinforces Exim Finserve’s commitment to supporting cross-border trade, ensuring that exporters can confidently expand their global footprint with the financial backing they need.

By focusing on innovation and inclusivity in trade finance, the partnership between Exim Finserve and M1 NXT represents a pivotal step toward addressing long-standing challenges in MSME export financing and fostering robust growth in India’s global trade landscape.