The Access to Business Funding Bill is set 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 significant financial barriers faced by micro, small, and medium enterprises (MSMEs) and cooperatives, challenges acknowledged both domestically and globally.
Kamikamica emphasized the importance of access to finance for fostering economic empowerment, particularly in rural areas where cooperatives have proven to be effective, especially within the indigenous Taukei community. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, highlighting the vital role of cooperative models in achieving sustainable development and social progress.
In efforts to further support the cooperative sector, the Fijian government plans to modernize the legal framework with amendments to the Co-operatives Act expected this year. Additionally, a newly established Cooperative Development Fund, recently approved by Parliament, aims to significantly enhance the operational capacity of cooperatives within the country.
Public consultations held earlier this year indicated that many SMEs struggle to access traditional financing due to inadequate revenue histories, lack of credit shouldering, or collateral, leading to a considerable funding gap. The Access to Business Funding Bill proposes innovative solutions to these challenges, including a small-offer regime allowing private companies to raise equity capital more easily and provisions for investment-geared crowdfunding, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves toward approval, there is optimism that it will create a more inclusive financial landscape in Fiji, empowering entrepreneurs and stimulating local economic growth. This progressive initiative reflects the government’s commitment to enhancing access to finance for MSMEs and cooperatives, fostering a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and resilience within Fiji’s economy.
This legislative development represents a hopeful step forward in addressing the needs of the MSME sector and could pave the way for transformative economic opportunities for many communities across Fiji.
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