The Access to Business Funding Bill is scheduled for approval next week, as announced by Fiji’s Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent parliamentary session. This essential legislation aims to tackle the financial barriers faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, addressing challenges recognized both locally and globally.
Kamikamica emphasized the urgent need for better access to finance, particularly in rural areas where cooperatives have proven effective, especially among indigenous Taukei communities. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the vital role that cooperative models can play in promoting sustainable development and social progress.
To further support the cooperative sector, the Fijian government plans to modernize the existing legal framework governing cooperatives, with amendments to the Co-operatives Act expected later this year. The newly established Cooperative Development Fund, recently approved by Parliament, aims to enhance the operational capacities of cooperatives, demonstrating the government’s commitment to this critical sector.
Public consultations held earlier this year highlighted that many SMEs struggle with accessing traditional financing due to barriers such as insufficient revenue histories, credit ratings, or collateral, which has resulted in a notable funding gap. The Access to Business Funding Bill seeks to bridge this gap through innovative financing solutions, including a small-offer regime that allows private companies to raise equity capital more easily, alongside provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill nears approval, optimism is increasing regarding its potential to create a more inclusive financial landscape in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative promises significant benefits for the broader community and will likely enhance the resilience of Fiji’s economy. The proactive measures outlined in this legislation reflect a hopeful commitment from the government to foster a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and development throughout the country.
This move signifies a crucial step forward for the Fijian economy, showcasing a commitment to support MSMEs and cooperatives that can drive innovation and economic progress, particularly in underserved areas.
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