The Access to Business Funding Bill is on track to be approved next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent session in Parliament. This significant legislation is poised to address the financial challenges facing micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, which have been recognized as critical issues both locally and globally.
Kamikamica emphasized the need for improved access to finance, particularly in rural areas where cooperatives have proven to be effective, especially among the indigenous Taukei population. This legislative initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the potential of cooperative models in fostering sustainable development and social advancement.
In an effort to support the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, a recently established Cooperative Development Fund, which has gained parliamentary approval, aims to enhance the operational capabilities of cooperatives.
Public consultations earlier this year revealed that many SMEs struggle to access traditional financing options due to barriers such as inadequate revenue histories, poor credit ratings, or lack of collateral. These challenges have created a significant funding gap, which the Access to Business Funding Bill aims to bridge with innovative solutions. The bill includes a small-offer regime that will facilitate private companies’ ability to raise equity capital more easily, as well as provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses toward approval, there is a growing sense of hope regarding its capacity to create a more inclusive financial environment in Fiji. Empowering entrepreneurs and promoting local economic growth through improved access to finance has the potential not only to benefit the MSME sector but also to enhance the overall resilience of Fiji’s economy. The government’s proactive measures signify a commitment to fostering a vibrant entrepreneurial ecosystem capable of supporting sustainable long-term growth and development across the nation.
Overall, this initiative promises significant positive impact for Fiji’s economic landscape, creating opportunities for many communities and driving forward a more inclusive financial future.
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