Summary

The United Nations Conference on Trade and Development (UNCTAD) has analyzed how supply chain finance can support small business development and expand trade in African countries. The report notes that despite a potential market size of more than USD 60 billion, only 7–25% of this potential is currently being utilized, as banks and financial institutions tend to focus primarily on global rather than regional value chains. Access to supply chain finance is determined less by company size or ownership structure than by firm-specific characteristics, including the quality of management, women’s participation in business, and the availability of a credit history. The highest demand for supply chain finance is observed in construction, retail trade, pharmaceuticals, and manufacturing. The report also highlights the role of digitalization and fintech solutions in facilitating business access to financial instruments. As key policy recommendations, UNCTAD proposes developing digital platforms for small and medium-sized enterprises, improving legal frameworks for managing accounts receivable, and strengthening the capacity of banks and companies to use supply chain finance instruments effectively.