The Access to Business Funding Bill is set to be approved next week, with confirmation provided by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This significant legislation is designed to address the financial hurdles faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, concerns acknowledged on both national and international platforms.
Kamikamica emphasized the pressing need for improved financing access, particularly for rural communities where cooperatives have demonstrated effectiveness, especially among the indigenous Taukei population. This initiative coincides with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting the key role cooperative models can play in promoting sustainable development and social progress.
To support the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act in the current year. Additionally, the newly established Cooperative Development Fund, which recently gained parliamentary approval, aims to bolster the operational capabilities of cooperatives, reflecting the government’s commitment to enhancing this vital sector of the economy.
Public consultations conducted earlier this year revealed widespread challenges faced by SMEs in obtaining traditional financing due to barriers such as inadequate credit histories, revenue streams, or collateral. This situation has contributed to a significant funding gap, which the Access to Business Funding Bill aims to address through innovative solutions. These include establishing a small-offer regime that simplifies equity capital raising for private companies and introducing investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill advances toward approval, there is a burgeoning sense of optimism about its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could have far-reaching benefits for the broader community and enhance the resilience of Fiji’s economy. The proactive measures encompassed in this legislation signify a hopeful commitment by the Fijian government to cultivate a vibrant entrepreneurial ecosystem that can support sustained growth and development throughout the nation.
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