The Access to Business Funding Bill is anticipated to receive approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This crucial legislation aims to address the financial hurdles faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, challenges that have been recognized both locally and globally.
Kamikamica emphasized the critical necessity for improved access to finance, particularly in rural areas where cooperatives have historically proven to be effective, especially among indigenous Taukei communities. This initiative aligns with the United Nations’ recognition of 2025 as the International Year of Cooperatives, which highlights the fundamental role cooperative models can play in fostering sustainable economic development and social progress.
The Fijian government is set to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected to be proposed this year. Additionally, the recently established Cooperative Development Fund aims to enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to strengthening this essential sector.
Prior public consultations resolved that many SMEs encounter significant barriers to accessing traditional financing, often due to insufficient revenue histories, credit ratings, or collateral, resulting in a notable funding gap. The Access to Business Funding Bill is designed to address these challenges by introducing innovative financing solutions, including provisions for a small-offer regime that facilitates private companies in raising equity capital and investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, optimism is growing about its potential to foster a more inclusive financial landscape in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative is poised to generate positive outcomes for the broader community and bolster the resilience of Fiji’s economy. The government’s proactive measures indicate a hopeful commitment to nurturing a dynamic entrepreneurial ecosystem capable of supporting sustained growth and development across the nation.
Overall, this legislative effort holds the promise of enhancing economic opportunities and mitigating financial barriers for MSMEs and cooperatives in Fiji, contributing to a more vibrant economic environment.
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