The International Finance Corporation (IFC) and the Swiss Government have kicked off the second phase of its supply chain finance (SCF) program in Vietnam, aiming to improve access to working capital for small and medium enterprises (SMEs).

Backed by a five million Swiss Francs ($5.6 million) grant from the State Secretariat for Economic Affairs (SECO) of Switzerland, the initiative will run until 2029. It is expected to help over 500,000 SMEs access up to $35 billion in financing.

The SCF program, launched in 2018, has helped improve regulations, enhance institutional readiness and stimulate market demand and awareness. Over the past five years, it facilitated $33 billion in financing for 500,000 SMEs in Vietnam.

In the second phase, the program will focus on strengthening regulations, improving lender capacity and increasing awareness of SCF solutions among businesses.