The Access to Business Funding Bill is set to gain approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent parliamentary session. This essential legislation aims to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, which have been acknowledged both locally and internationally.
In his remarks, Kamikamica emphasized the crucial need for improved access to finance, particularly for rural areas where cooperatives have historically demonstrated effectiveness, especially among the indigenous Taukei population. The initiative aligns with the United Nations’ proclamation of 2025 as the International Year of Cooperatives, further highlighting the significant role these cooperative models can play in promoting sustainable economic development and social advancement.
To bolster 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 introduced Cooperative Development Fund, recently approved by Parliament, aims to enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to supporting this vital sector.
Public consultations held earlier this year revealed that numerous SMEs face substantial barriers when attempting to access traditional financing options, often due to insufficient revenue histories, credit ratings, or collateral. This has resulted in a considerable funding gap. The Access to Business Funding Bill is designed to bridge this gap through innovative financing solutions, including a small-offer regime that facilitates equity capital raising, as well as investment-driven options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, there is a burgeoning sense of optimism regarding its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative holds the promise of delivering notable benefits for the broader community and enhancing the resilience of Fiji’s economy. The proactive measures outlined in this legislation reflect a hopeful commitment from the government to create a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
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