Credit growth is vital to economic development; enabling businesses; particularly MSMEs; to invest; expand operations; and generate employment. MSMEs are critical to Indonesia¡¯s economy; contributing close to 60% of GDP and employing over 95% of the workforce. Yet MSMEs face a persistent credit gap of US$234bn as of 2023; driven by risk perceptions and collateral limitations. Only 19% of bank loans were extended to MSMEs in 2023. Access to Finance by receivables and inventory such as [1]Supply Chain Finance (SCF) is vital for MSME liquidity. This requires modern secured transaction laws; operational collateral registries; and institutional recognition of receivables as collateral. Promoting Asset-Based Lending (ABL) through movables assets particularly receivables and inventory can significantly improve MSME liquidity; enhancing resilience and supporting economic growth. In mature markets; lending secured by movable assets can account for 60-70% of total commercial lending. IFC recently launched the Indonesia Lending Growth (Indo LendGrowth) Program. Under this program; IFC aims to unlock broader credit growth in Indonesia through secured transactions financing using receivables including SCF ¨C where it has already laid foundational work ¨C as critical. Ultimately; IFC plans to partner with financial institutions in Indonesia to conduct a demonstration transaction involving SCF using receivables; through funded/unfunded risk-sharing facility in a portfolio of supply chain finance-related assets. As part of the program; IFC intends to carry out comprehensive assessment and feasibility of a digital receivables platform to understand the potential for secured transactions financing using receivables to further promote access to financing for MSMEs aligned with the country¡¯s priorities. The objective of this assessment is to:(1) Quantify the potential financing opportunity from receivables-based lending for MSMEs.(2) Understand the key factors needed by FIs; including digital players; to expand SCF for MSMEs.(3) Assess how market-wide digital receivables platforms can promote MSME lending based on global experiences.(4) Raise awareness of ABL particularly SCF and receivables-based lending among stakeholders. FIs include state-owned banks; private commercial banks; non-banking financial institutions such as multi-finance companies; platforms; and fintechs specialized in MSME financing.