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, during a recent parliamentary session. This significant legislation aims to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue recognized both nationally and globally.
Kamikamica highlighted the critical need for improved access to finance, particularly in rural areas where cooperatives have proven effective among the indigenous Taukei communities. This initiative is in alignment with the United Nations’ designation of 2025 as the International Year of Cooperatives, emphasizing the vital role cooperative models can play in fostering sustainable economic development and social advancement.
To strengthen 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 established Cooperative Development Fund, which recently received parliamentary approval, aims to enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to this essential sector.
Earlier public consultations revealed that many SMEs struggle to access traditional financing due to barriers such as inadequate revenue histories, credit ratings, or collateral, resulting in a significant funding gap. The Access to Business Funding Bill seeks to bridge this gap by introducing alternative financing solutions, including a small-offer regime to facilitate equity capital raising and provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses towards approval, there is growing optimism regarding its potential to create a more inclusive financial landscape in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could yield substantial benefits for the broader community and enhance the resilience of Fiji’s economy. The proactive measures embodied in this legislation reflect a hopeful commitment from the government to nurture a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
This hopeful initiative signifies a positive step toward fostering financial inclusivity which could lead to stronger economic empowerment and social progress in the region.
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