High poverty levels in the rural areas have made it difficult for smallholders to access financial markets. MacFin is a pro-poor agricultural financing which is embedded within the market development programmes of FCI. The model, an integral component of value chain development, aims to increase smallholders’ access to business-related financial services and consequently their participation in the value chains of different agricultural products.

MacFin empowers smallholders in different Commercial Villages to borrow funds from their accumulated savings, for agricultural use. These farmers are eventually initiated into borrowing from micro financial institutions and other banks, which target smallholders.