The Access to Business Funding Bill is set to receive approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a session in Parliament. This important legislation aims to address the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue recognized both locally and internationally.
Kamikamica emphasized the urgent need for improved access to finance, particularly in rural regions where cooperatives have shown effectiveness, particularly among the indigenous Taukei population. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, highlighting the crucial role of cooperative models in promoting sustainable development and social progress.
To enhance the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act expected this year. Additionally, a newly established Cooperative Development Fund, recently approved by Parliament, aims to strengthen the operational capabilities of cooperatives, underscoring the government’s commitment to this essential sector of the economy.
Public consultations conducted earlier this year revealed that many SMEs struggle with access to traditional financing due to barriers such as inadequate revenue histories, credit ratings, or collateral, resulting in a substantial funding gap. The Access to Business Funding Bill seeks to bridge this gap through innovative financing solutions, including a small-offer regime that facilitates equity capital raising, and provisions for investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves towards approval, there is growing optimism regarding its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could lead to significant benefits for the broader community and enhance the resilience of Fiji’s economy. The government’s proactive measures reflect a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
This bill represents a crucial step forward in addressing the financing challenges faced by MSMEs, which are vital for the country’s economic development. As the foundations for a more inclusive financial system are laid, we can anticipate a brighter future for Fijian entrepreneurs and communities.
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