The Access to Business Funding Bill is set to receive approval by next week, according to announcements made by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent parliamentary session. This significant legislation is aimed at addressing the financial difficulties faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, which are issues acknowledged globally.
Kamikamica highlighted the urgent need for improved access to finance, especially in rural communities where cooperatives, particularly among the indigenous Taukei population, have shown their effectiveness. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, emphasizing the potential of cooperative models to foster sustainable economic development and social progress.
To bolster the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with changes to the Co-operatives Act expected to be proposed this year. Furthermore, the recently approved Cooperative Development Fund aims to enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to this vital sector.
Public consultations earlier in the year revealed that many SMEs face substantial barriers to accessing traditional financing, often due to insufficient revenue histories, credit ratings, or collateral, leading to a significant funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing innovative financing solutions, including 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 progresses, optimism is growing regarding its potential to create a more inclusive financial environment in Fiji. This initiative promises to empower entrepreneurs and stimulate local economic growth, which could yield significant benefits for the wider community and enhance the overall resilience of Fiji’s economy. The government’s proactive steps demonstrate a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
Overall, this legislation not only reflects a strategy for economic empowerment but also aligns with global initiatives focused on enhancing financial access for underserved communities.
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