Challenges faced by micro, small and medium-sized enterprises in accessing financial tools and credit include a lack of collateral, insufficient credit history, and the complexity of financial products that may not meet their specific needs. A lack of financial information, stringent regulatory requirements, and the high costs associated with processing small loans further complicate access to finance.

The Pacific region's legal and regulatory frameworks are generally underdeveloped, posing additional challenges for small businesses seeking credit for expansion. Traditionally, these small businesses excel in sectors like wholesale, retail, agribusiness, food processing, and other service-related industries. However, they frequently encounter difficulties securing financing, limiting their potential to expand or hire more employees.