To advance the agricultural industry by developing SME farmers, AwanTunai has partnered with SayurBox.
Thanks to this cooperation, You will easily access low-cost formal invoice financing, which until now has facilitated more than 5.000 UMKM farmers in Indonesia.
In an effort to develop this program, AwanTunai and SayurBox also have partnerships with SCBF (Swiss Capacity Building Facility) to facilitate funding technical assistance.
AwanTunai's support in this collaboration is to develop data collection and digital assessment infrastructure through funds facilitated by SCBF..
This initiative aims to shape a credit risk management process that banks accept to make it more suitable for smallholder MSMEs as well as develop a basic infrastructure system (which is an HP application development) and carry out sales and marketing activities.
It is hoped that the distribution of infrastructure among agricultural chain partners can open up more and more SMEs farmers to access to finance.
Dino Setiawan, as the Chief Executive Officer and Co-Founder of AwanTunai, said that most Indonesian smallholder SMEs do not have access to affordable working capital or evenly distributed downstream supply chains..
“Limited access to formal credit support, capital, technology, and access has a negative impact on the economic stability of farmers. Thus, This partnership will have a major impact on the welfare of Indonesian farmers,"He said.
This performance is expected to be able to digitize and optimize the supply chain of the agricultural industry in order to expand the reach of affordable financing to more than 19 million UMKM farmers, including those without bank accounts, throughout Indonesia.
This collaboration allows both parties to complement each other's goals in improving welfare and financial inclusion for all Indonesian farmer MSMEs.
In Indonesia, financing for smallholder MSMEs is known to be full of suboptimal payment performance. Constraints in crop management, loan, and crop yields make financing a challenge to implement consistently.
AwanTunai collaborates with SayurBox as an agricultural offtaker to develop sustainable and affordable financing that will accelerate the cash flow cycle of small and medium enterprises in receiving funds from the sale of crops.
It will also open up better access to inputs in the form of seeds, fertilizer, and other materials for their agricultural development.
Cooperate with supply chain intermediaries, AwanTunai and SayurBox believe in achieving this sustainable financing solution, Bad credit must be minimized.
Farmers' MSMEs can join and get this affordable financing just by showing their KTP.
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