The Access to Business Funding Bill is poised to be approved next week, according to Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This key legislation addresses the ongoing financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, issues acknowledged both locally and internationally.
Kamikamica noted the critical importance of access to finance for economic empowerment, especially in rural areas where cooperatives have proved effective among the indigenous Taukei population. This initiative aligns with the United Nations’ declaration designating 2025 as the International Year of Cooperatives, highlighting the importance of cooperative models in advancing sustainable development and social progress.
To bolster the cooperative sector, the Fijian government plans to modernize the legal framework that governs these entities, with anticipated amendments to the Co-operatives Act this year. A newly established Cooperative Development Fund, which has recently received parliamentary backing, aims to significantly enhance the operational capacities of cooperatives, reflecting the government’s commitment to fortifying this crucial economic sector.
Public consultations conducted earlier in the year revealed substantial barriers that SMEs face in securing traditional financing. Many struggle due to a lack of established revenue streams, credit histories, or adequate collateral, resulting in a significant funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing innovative financing options, including a small-offer regime that simplifies the process for private companies to raise equity capital, and provisions for investment-driven crowdfunding models such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill advances toward approval, there is growing optimism that it will create a more inclusive financial environment in Fiji. This initiative not only seeks to empower entrepreneurs but also aims to stimulate local economic growth, ultimately benefiting the wider community and enhancing the overall resilience of Fiji’s economy. Such proactive measures indicate a hopeful commitment from the Fijian government to cultivate a robust entrepreneurial ecosystem capable of sustaining long-term development and growth for MSMEs and cooperatives.
This legislative development brings potential for transformative economic opportunities, thereby paving the way for future success in Fiji’s business landscape.
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