The Access to Business Funding Bill is slated for approval next week, as confirmed by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a parliamentary session. This pivotal legislation aims to tackle the financial hurdles faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, a concern noted both locally and globally.
Kamikamica stressed the critical need for enhanced access to finance, particularly in rural areas where cooperatives have proven effective, especially among the indigenous Taukei communities. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting the significant role that cooperatives can play in fostering sustainable economic development and social progress.
To further strengthen the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with expected amendments to the Co-operatives Act later this year. Additionally, a recently approved Cooperative Development Fund aims to bolster the operational capacities of cooperatives, reflecting the government’s commitment to this essential economic segment.
Public consultations held earlier this year revealed that many SMEs face considerable barriers to accessing traditional financing, often due to insufficient revenue histories, credit ratings, or collateral, resulting in a pronounced funding gap. The Access to Business Funding Bill is designed to bridge these gaps by introducing innovative financing solutions, including a small-offer regime that facilitates easier equity capital raising and provisions for investment-driven options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves closer to approval, there is a growing optimism about its potential to cultivate a more inclusive financial landscape in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative is expected to yield significant benefits for the wider community and enhance the overall resilience of Fiji’s economy. This proactive government approach represents a hopeful commitment to fostering a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
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