The Access to Business Funding Bill is poised for approval next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This significant legislation aims to address the financial hurdles faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, challenges that are recognized both locally and internationally.
Kamikamica emphasized the critical need for improved access to finance, particularly in rural areas where cooperatives, notably among the indigenous Taukei population, have proven effective. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the potential of cooperative models to drive sustainable economic development and social progress.
The Fijian government is also planning to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act anticipated this year. Additionally, the recently approved Cooperative Development Fund aims to enhance the operational capabilities of cooperatives, further reinforcing the government’s commitment to this vital sector of the economy.
Public consultations conducted earlier this year have revealed that many SMEs struggle to access traditional financing due to barriers like inadequate revenue histories, credit ratings, or collateral. This has created a significant funding gap, which the Access to Business Funding Bill seeks to address through innovative solutions. These include a small-offer regime that facilitates easier equity capital raising for private companies and provisions for investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves toward approval, there is a growing sense of optimism regarding its potential to create a more inclusive financial landscape in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative holds promise not only for the MSME sector but also for the broader community, enhancing the resilience of Fiji’s economy. The proactive measures taken by the government signal a hopeful commitment to cultivate a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and development throughout the nation.
Overall, this legislative advancement marks a significant step towards fostering economic empowerment and improving access to finance for those who truly need it, laying the groundwork for a prosperous future in Fiji.
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