The Access to Business Funding Bill is expected to be approved by Parliament next week, according to an announcement made by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica. This essential legislation is designed to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, a matter that has garnered both local and international attention.
During a recent parliamentary session, Kamikamica emphasized the urgent need for improved access to financing options, particularly in rural regions where cooperatives have proven effective, especially among the indigenous Taukei communities. This initiative also aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, reinforcing the potential of cooperative models in fostering sustainable development and social progress.
To bolster this sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act later this year. Additionally, the recently established Cooperative Development Fund, which has received parliamentary approval, aims to enhance the operational effectiveness of cooperatives, demonstrating the government’s commitment to this vital sector of the economy.
Public consultations earlier in the year highlighted significant barriers that many SMEs face when trying to access traditional financing—such as inadequate revenue histories, credit ratings, and collateral—which have resulted in a substantial funding gap. The Access to Business Funding Bill intends to bridge this gap by implementing innovative financing solutions like a small-offer regime to facilitate 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 closer to approval, there is a palpable sense of optimism about its potential to create a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative has the potential to deliver significant benefits to the wider community, enhancing the overall resilience of Fiji’s economy. The government’s proactive measures embody a hopeful commitment to fostering an entrepreneurial ecosystem capable of supporting sustained growth and development across the nation.
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