This will benefit microenterprises that are involved in value chains as it provides an opportunity to open up credit to all the players in the chain.2 As designed, the AVCF Framework not only addresses financing constraints of small players but also allows them to take on other challenges such as access to markets, business development, and technology.
In other words, it is a response by the BSP to various issues that hamper the potential for growth of MSMEs. Given the multiplicity of challenges, a collective and collaborative approach is the most ideal strategy to promote inclusive growth. Closer coordination of various players will ensure that complementarities and synergies are identified among and across efforts and unnecessary duplications minimized.