The Access to Business Funding Bill is set to be approved next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This significant legislation aims to address the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives across Fiji, an issue recognized both domestically and globally.
Kamikamica highlighted the urgent need for improved access to finance, particularly in rural regions where cooperatives have proven effective, especially among Fiji’s indigenous Taukei communities. This initiative coincides with the United Nations’ declaration designating 2025 as the International Year of Cooperatives, which underscores the critical role cooperative models can play in promoting sustainable development and social advancement.
To enhance the cooperative sector, the Fijian government is planning to modernize the existing legal framework governing cooperatives, with amendments to the Co-operatives Act expected later this year. The recently established Cooperative Development Fund, which has received parliamentary approval, aims to bolster the operational capabilities of cooperatives, further demonstrating the government’s commitment to this vital sector.
Earlier public consultations revealed significant barriers faced by many SMEs in accessing traditional financing, often due to insufficient revenue histories, credit ratings, or collateral, leading to a considerable funding gap. The Access to Business Funding Bill seeks to bridge this gap by introducing innovative financing solutions, including a small-offer regime that allows private companies to raise equity capital more easily and investment-driven crowdfunding options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, there is a growing sense of optimism regarding its potential to foster a more inclusive financial environment in Fiji. This initiative promises to empower entrepreneurs and stimulate local economic growth, ultimately benefiting the broader community and enhancing the resilience of Fiji’s economy. The proactive measures taken by the government reflect a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
This bill signifies a progressive step toward addressing financial inequities and creating opportunities for all sectors of the economy, particularly those that have been historically underserved.
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