The Access to Business Funding Bill is set to be approved next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, in Parliament. This critical legislation aims to tackle the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, recognized as a pressing issue both locally and globally.
Kamikamica underscored the need for improved access to finance, particularly in rural areas where cooperatives have shown effectiveness, especially among the indigenous Taukei communities. This initiative is in line with the United Nations’ declaration of 2025 as the International Year of Cooperatives, emphasizing the role of cooperative models in promoting sustainable development and social progress.
To support the cooperative sector, the Fijian government plans to modernize the legal framework, with amendments to the Co-operatives Act anticipated this year. The introduction of the Cooperative Development Fund, which has recently received parliamentary approval, aims to significantly enhance the operational capacity of cooperatives, displaying the government’s commitment to empowering this vital sector.
Public consultations held earlier this year revealed that many SMEs struggle to access traditional financing due to barriers such as insufficient revenue histories, credit ratings, or collateral. This situation has resulted in a substantial funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing innovative financing solutions including a small-offer regime that will facilitate easier equity capital raising and provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses toward approval, there is a growing sense of optimism that it will create a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative holds promise not only for the MSME sector but also for the broader community, ultimately enhancing the resilience of Fiji’s economy. The proactive measures represented by this legislation signal a hopeful commitment from the Fijian government to foster a vibrant entrepreneurial ecosystem capable of supporting sustainable growth and development across the nation.
Overall, this development is a significant step toward addressing the financial barriers many businesses face, signaling a hopeful future for entrepreneurs in Fiji and the potential for economic empowerment throughout the region.
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