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 legislation aims to confront the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives, which are critical issues recognized both locally and internationally.
Kamikamica highlighted the need for improved access to finance, particularly in rural areas where cooperatives have proven instrumental, especially among the indigenous Taukei population. This initiative coincides with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the cooperative model’s role in enabling sustainable economic development and social progress.
The Fijian government plans to enhance the legal framework for cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, the recently approved Cooperative Development Fund aims to significantly increase the operational capacity of cooperatives.
Public consultations earlier this year revealed that many SMEs struggle with traditional financing due to insufficient revenue streams, credit histories, or collateral, resulting in a significant funding gap. The Access to Business Funding Bill is designed to address these challenges by enabling companies to raise equity capital through a small-offer regime and creating pathways for investment-focused crowdfunding options 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 environment in Fiji. By enhancing access to finance for entrepreneurs, this initiative has the potential to spur local economic growth and foster a robust entrepreneurial ecosystem that benefits the broader community. The government’s commitment to addressing these financial barriers highlights a proactive step toward building a more resilient and sustainable economy in Fiji.
This development not only responds to immediate economic challenges but also sets a hopeful precedent for long-term financial empowerment and growth for MSMEs and cooperatives, significantly contributing to Fiji’s economic vitality and sustainability.
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