The Access to Business Funding Bill is on track for approval next week, according to Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, who made the announcement in Parliament. This vital legislation is designed to address the financial obstacles confronting micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, a widespread issue acknowledged both domestically and internationally.
Kamikamica underscored the pressing need for enhanced access to finance, particularly in rural areas where cooperatives have proven effective, particularly among the indigenous Taukei communities. This initiative aligns with the United Nations’ recognition of 2025 as the International Year of Cooperatives, highlighting the critical role that cooperative models can play in fostering sustainable development and social progress.
The Fijian government also plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected later this year. Additionally, a newly established Cooperative Development Fund—which recently received parliamentary approval—aims to significantly bolster the operational capacities of cooperatives, thus reinforcing the government’s commitment to this essential economic sector.
Public consultations conducted earlier this year revealed that many SMEs struggle to access conventional financing options due to barriers such as inadequate revenue histories, credit ratings, or collateral, resulting in a notable funding gap. The Access to Business Funding Bill seeks to address these challenges by introducing innovative financing solutions, which include a small-offer regime to facilitate equity capital raising for private companies, alongside investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches its anticipated approval, optimism is growing regarding its potential to establish a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could yield substantial benefits for the broader community while enhancing the overall resilience of Fiji’s economy. The government’s proactive measures signal a hopeful commitment to fostering a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
This planned legislative advance represents a significant step forward for Fiji’s economic landscape, particularly for the cooperative sector, and reflects a dedicated effort to empower local businesses for the future.
Leave a comment