The Access to Business Funding Bill is set to receive approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This crucial piece of legislation aims to address the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji—an issue recognized both locally and internationally.
Kamikamica underscored the pressing need for better access to finance, especially in rural areas where cooperatives have demonstrated their effectiveness among the indigenous Taukei population. This initiative coincides with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting the role of cooperative models in fostering sustainable economic growth and social advancement.
To support the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act this year. Additionally, the newly established Cooperative Development Fund, which has recently received parliamentary approval, aims to enhance the operational capacities of cooperatives, further reinforcing the government’s commitment to this essential sector.
Public consultations earlier this year revealed that many SMEs struggle to access traditional financing due to barriers such as insufficient revenue histories, credit ratings, or collateral, leading to a significant funding gap. The Access to Business Funding Bill is designed to bridge this gap through innovative solutions. It includes provisions for a small-offer regime that will allow private companies to raise equity capital more easily, and options for investment-driven crowdfunding, including equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves closer to approval, expectations are rising that it will foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and promoting local economic growth, this initiative has the potential to create substantial positive impacts for the broader community and enhance the resilience of Fiji’s economy. The proactive measures being taken reflect a hopeful commitment by the Fijian government to cultivate a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development.
In conclusion, this bill not only represents a significant step forward for MSMEs and cooperatives in Fiji but also emphasizes the importance of sustainable financial practices as a relevant pathway for economic empowerment.
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