Access to finance remains a key challenge for SMEs in the Eastern partner (EaP) region. It is cited by companies in most countries in the Business Environment and Enterprise Performance Survey (BEEPS V) as among the top three most severe obstacles to doing business. This chapter focuses on government policies to encourage SME lending and assesses the availability of finance instruments, in line with Principle 6 of the Small Business Act for Europe. Bank lending remains the main source of finance for SMEs across the region, although the global financial and economic crisis has seen lending generally tighten. Alternative sources of financing, such as leasing, factoring and venture capital, remain limited, while micro-financing is the most common non-bank option in many countries. Some progress has been made to strengthen the legislative and regulatory framework for SME lending. Availability, coverage and accessibility of credit information have generally improved, however challenges remain in enforcing creditors’ rights. Generally, financial literacy remains low and initiatives to raise skills in financial management are limited. Across the region, governments could strengthen their activities to encourage bank lending to SMEs and improve their legal and regulatory frameworks to realise the potential offered by the currently underdeveloped non-banking financial sector.