The Access to Business Funding Bill is on track for approval next week, as confirmed by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent parliamentary session. This key legislation is aimed at addressing the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue recognized both locally and internationally.
Kamikamica stressed the importance of improving access to finance for economic empowerment, particularly in rural regions where cooperatives, especially among the indigenous Taukei communities, have shown considerable effectiveness. The initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, emphasizing the role cooperative models can play in promoting sustainable development and social progress.
To support the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with proposed amendments to the Co-operatives Act anticipated to be introduced this year. Additionally, the Cooperative Development Fund, recently approved by Parliament, aims to enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to strengthening this vital sector of the economy.
Public consultations conducted earlier this year revealed that many SMEs struggle to secure traditional financing, often due to inadequate revenue histories, credit ratings, or collateral, which has resulted in a significant funding gap. The Access to Business Funding Bill seeks to bridge this gap by introducing innovative financing solutions. These include a small-offer regime that simplifies the raising of equity capital for private companies 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 foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and promoting local economic growth, this initiative holds the potential to benefit the broader community and bolster the resilience of Fiji’s economy. The proactive steps reflected in this legislation signify a hopeful commitment from the government to nurture a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and adaptability across the nation.
Overall, the Access to Business Funding Bill represents a significant and optimistic stride towards financial inclusion and economic prosperity for Fiji.
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