The Access to Business Funding Bill is anticipated to be approved by Parliament next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica. This critical legislation aims to tackle the financial obstacles that micro, small, and medium enterprises (MSMEs) and cooperatives face in Fiji, a challenge acknowledged both nationally and internationally.
During a session in Parliament, Kamikamica underlined the necessity for enhanced access to finance, particularly in rural regions where cooperatives have proven instrumental, especially among the indigenous Taukei communities. The introduction of this bill coincides with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the potential impact of cooperative models on sustainable development and social progress.
As part of its commitment to the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Recently approved, the Cooperative Development Fund aims to significantly boost the operational capacity of cooperatives, further showcasing the government’s dedication to this essential sector.
Previous public consultations conducted revealed that many SMEs struggle to secure traditional financing due to barriers like insufficient revenue histories, credit ratings, or collateral. This has resulted in a significant funding gap. The Access to Business Funding Bill seeks to bridge this gap by introducing innovative financing solutions, including a small-offer regime that facilitates easier equity capital raising and provisions for investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses, there is increasing optimism regarding its potential to foster a more inclusive financial landscape in Fiji. It aims to empower entrepreneurs and stimulate local economic growth, which can have positive ramifications for the broader community and enhance the overall resilience of Fiji’s economy. This progressive step indicates the government’s commitment to building a vibrant entrepreneurial ecosystem that supports sustainable growth and development.
Overall, the Access to Business Funding Bill represents a hopeful advancement for MSMEs and cooperatives in Fiji, paving the way for a future with greater financial inclusivity and economic empowerment.
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