The Access to Business Funding Bill is set to be approved next week as announced by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent parliamentary session. This pivotal legislation aims to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, issues that have gained recognition both locally and internationally.
Kamikamica emphasized the crucial need for improved access to finance to empower economic growth, especially in rural regions where cooperatives have shown notable effectiveness, particularly among the indigenous Taukei population. This initiative dovetails with the United Nations’ declaration of 2025 as the International Year of Cooperatives, showcasing the significant role that cooperative models can play in advancing sustainable development and social progress.
To further support the cooperative sector, the Fijian government is working on modernizing the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, the newly established Cooperative Development Fund, which has recently received parliamentary approval, aims to enhance the operational capabilities of cooperatives. This reflects the government’s commitment to fortifying this vital sector of the economy.
Public consultations conducted earlier this year highlighted that many SMEs are struggling to access traditional financing due to barriers such as insufficient revenue histories, credit ratings, or collateral, resulting in a significant funding gap. The Access to Business Funding Bill seeks to bridge this gap through innovative solutions, including a small-offer regime that allows private companies to more easily raise equity capital, as well as provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As anticipation builds for the bill’s approval, there is a growing sense of optimism that it will foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative is poised to have positive implications for the wider community, ultimately bolstering the resilience of Fiji’s economy. The government’s proactive measures signify a hopeful commitment to developing a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and adaptability in response to emerging economic challenges.
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