The Access to Business Funding Bill is expected to receive parliamentary approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent session. This pivotal legislation seeks to address significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, a concern that has been acknowledged both at home and internationally.
Kamikamica underscored the importance of improving access to finance, particularly in rural regions where cooperatives are notably effective, especially in supporting the indigenous Taukei community. This initiative aligns with the United Nations’ declaration for 2025 as the International Year of Cooperatives, which aims to highlight the role of cooperative models in fostering sustainable economic development and social progress.
To further support this sector, the Fijian government plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act anticipated to be introduced within the year. Additionally, the recently approved Cooperative Development Fund aims to significantly enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to this vital area of the economy.
Recent public consultations revealed that many SMEs encounter substantial barriers in accessing traditional financing—often due to inadequate revenue histories, credit ratings, or collateral requirements—resulting in a notable funding gap. The Access to Business Funding Bill is designed to bridge this gap through innovative solutions, including a small-offer regime that simplifies the process for private companies to raise equity capital, as well as provisions for investment-driven crowdfunding options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As this bill progresses, there is an optimistic outlook on its capacity to create a more inclusive financial environment in Fiji. This initiative has the potential not only to empower entrepreneurs but also to stimulate local economic growth, thereby benefitting the wider community and enhancing the resilience of Fiji’s economy. Such proactive measures reflect a hopeful commitment by the Fijian government to foster a vibrant entrepreneurial ecosystem, one that is capable of supporting sustained growth and development in the nation.
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