The Access to Business Funding Bill is on track for approval next week, as announced by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent parliamentary session. This significant legislation is designed to tackle the financial obstacles faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji—issues recognized both locally and globally.
Kamikamica emphasized the critical need for better access to finance, especially in rural regions where cooperatives have proven effective, notably among the indigenous Taukei communities. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, which underscores the potential of cooperative models to promote sustainable development and social progress.
The Fijian government is also planning to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, the recently approved Cooperative Development Fund aims to enhance the operational abilities of cooperatives, reinforcing the government’s commitment to this vital sector of the economy.
Public consultations earlier this year highlighted the significant barriers that many SMEs encounter in accessing traditional financing, often due to insufficient revenue histories, credit ratings, or collateral, resulting in a pronounced funding gap. The Access to Business Funding Bill aims to address these challenges through innovative financial solutions, introducing a small-offer regime that facilitates the raising of equity capital by private companies, as well as provisions for investment-driven options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, there is growing optimism regarding its potential to create a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative promises to have a positive impact on the community and enhance the resilience of the nation’s economy. The proactive measures taken by the government suggest a hopeful commitment to fostering a vibrant entrepreneurial ecosystem capable of sustaining growth and development for the long term.
By addressing financing gaps, this bill not only serves to empower local businesses but also embodies a comprehensive effort towards economic empowerment and sustainability across Fiji.
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