The Access to Business Funding Bill is expected to gain approval next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent parliamentary session. This crucial legislation aims to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, issues recognized both nationally and internationally.
Kamikamica emphasized the urgent need for improved access to finance, particularly in rural areas where cooperatives have demonstrated their effectiveness, especially among the indigenous Taukei population. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, which underscores the significant role of cooperative models in promoting sustainable economic development and social progress.
In support of the cooperative sector, the Fijian government intends to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, a new Cooperative Development Fund, recently approved by Parliament, aims to strengthen the operational capabilities of cooperatives, reinforcing the government’s commitment to this vital sector of the economy.
Public consultations conducted earlier this year revealed that many SMEs struggle to access traditional financing options 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 through alternative financing solutions, including a small-offer regime that facilitates easier equity capital raising for private companies and provisions for investment-driven options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves closer to approval, there is growing optimism about its potential to create a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could lead to substantial positive outcomes for the wider community and enhance the resilience of Fiji’s economy. The proactive measures reflected in the bill signify a hopeful commitment from the government to foster a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
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