The Access to Business Funding Bill is set to be approved next week according to Deputy Prime Minister and Minister for Trade, Manoa Kamikamica. During a recent parliamentary discussion, he emphasized that accessing finance is a critical challenge for micro, small, and medium enterprises (MSMEs) and cooperatives, particularly in rural areas where the cooperative sector has proven effective among the indigenous Taukei communities.
This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, aiming to promote sustainable economic development and social advancement through cooperative models. As part of the government’s commitment, there are plans to modernize the legal framework for cooperatives, with amendments to the Co-operatives Act anticipated this year. Additionally, the newly approved Cooperative Development Fund aims to enhance the operational capabilities of cooperatives.
During public consultations held in early 2025, concerns about access to traditional financing for SMEs were raised, identifying barriers such as inadequate revenue histories, credit ratings, and collateral. This has resulted in a significant funding gap hindering growth. The Access to Business Funding Bill seeks to address these issues by introducing alternative financing avenues, including a small-offer regime for private companies to raise equity capital and options for investment-driven crowdfunding, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves closer to approval, there is increasing optimism that it will foster a more inclusive financial environment in Fiji, empowering entrepreneurs and stimulating local economic growth. The government’s proactive measures signal a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem that can support sustained growth and development throughout the country.
This legislation could significantly enhance the resilience of Fiji’s economy and reflects a promising step towards addressing the financing challenges faced by MSMEs and cooperatives.
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