The Access to Business Funding Bill is set to receive approval next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, in a recent parliamentary session. This significant legislation aims to address the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, which have garnered recognition both locally and internationally.
Kamikamica stressed the critical need for improved access to finance, particularly in rural regions where cooperatives have proven effective, especially among the indigenous Taukei population. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting how cooperative models can support sustainable economic development and social progress.
To further bolster the cooperative sector, the Fijian government will modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, the recently established Cooperative Development Fund, which has received parliamentary approval, seeks to enhance the operational capabilities of cooperatives, reinforcing the government’s commitment to this important sector.
Earlier public consultations revealed that many SMEs struggle to access traditional financing due to barriers such as inadequate credit histories, revenue streams, or collateral, resulting in a substantial funding gap. The Access to Business Funding Bill aims to bridge this gap through innovative financing solutions, including a small-offer regime that facilitates equity capital raising and provisions for investment-driven crowdfunding options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, there is a rising sense of optimism surrounding its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and driving local economic growth, this initiative could significantly benefit the broader community and improve the resilience of Fiji’s economy. The government’s proactive measures signify a hopeful commitment to cultivating a vibrant entrepreneurial ecosystem capable of supporting long-term growth and development throughout the nation.
Leave a comment