The Access to Business Funding Bill is scheduled for approval by next week, as revealed by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent session in Parliament. This significant legislation aims to tackle the financial obstacles faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue that has been recognized both domestically and globally.
Kamikamica emphasized the essential need for improved access to finance, particularly in rural regions where cooperatives, notably effective among the indigenous Taukei community, play a crucial role in economic empowerment. The upcoming legislation aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, which underscores the importance of cooperative models for sustainable economic and social growth.
To advance the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives with anticipated amendments to the Co-operatives Act this year. Additionally, the newly established Cooperative Development Fund, which recently received parliamentary approval, aims to enhance the operational capacity and effectiveness of cooperatives.
Public consultations earlier this year highlighted significant challenges that SMEs face in accessing traditional financing. Barriers such as inadequate revenue histories, credit ratings, and collateral have created a considerable funding gap. The Access to Business Funding Bill aims to address these challenges by introducing innovative financing solutions, including a small-offer regime that facilitates private companies in raising 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 moves toward approval, there is growing optimism that it will foster a more inclusive financial landscape, empowering entrepreneurs and promoting local economic growth. This initiative has the potential to benefit the wider community and enhance Fiji’s economic resilience, encouraging a promising entrepreneurial ecosystem capable of sustaining long-term development.
The proactive approach by the Fijian government reflected in the Access to Business Funding Bill is a hopeful indication of its commitment to support MSMEs and cooperatives, presenting transformative opportunities for the country’s economic future.
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