The Asian Development Bank (ADB) recently launched its Frontier Seed (Pacific) program, designed to foster local capital markets and support businesses focused on building local industries. This initiative aims to contribute to inclusive and sustainable growth in frontier markets, with a special emphasis on establishments referred to as “gazelle enterprises.”
The program awarded cost-recoverable technical assistance agreements of $200,000 (approximately FJ$458,000) each to two companies in Fiji. The first recipient, SeaPAC Pte Ltd, operates within the prawn production sector and will utilize the funding to enhance the commercialization of Fiji’s prawn industry, thereby promoting food security. The second recipient, Kahuto Pacific, specializes in aerial mapping and will develop new mapping services to improve coastal data availability in the Pacific region.
Emma Allen, ADB’s deputy regional director for the Pacific, expressed the program’s commitment to providing risk capital that allows businesses to demonstrate their growth potential, attract new investors, and contribute to a robust business ecosystem. Manoa Kamikamica, Fiji’s Deputy Prime Minister and Minister for Trade, welcomed the initiative, highlighting that it alleviates the burden of fixed repayment terms for recipients and aligns with Fiji’s goals for a resilient and self-sufficient economy. He indicated that supporting innovative enterprises like SeaPAC and Kahuto Pacific is pivotal for local economic development and job creation.
Furthermore, ADB Frontier project consultant Mathew Viner articulated that the initiative targets small and medium enterprises (SMEs) that may struggle to access traditional funding avenues, reflecting a mission to drive sustainability, particularly in ocean-based and climate impact solutions. The ADB has committed a total of $2 million for this program, matched by the Ocean Resilience and Coastal Adaptation (ORCA) Trust Fund, emphasizing the collaborative effort to support local economic growth.
This initiative aligns with ADB’s long-standing role in enhancing sustainability and resilience in the Asia-Pacific region, showing a positive shift towards supporting local industries and addressing pressing issues like food security and climate resilience.
The ADB Frontier Seed program represents a hopeful effort to nurture potential growth businesses in Fiji, directly contributing to national development goals and reinforcing the importance of innovative local solutions.
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