The Access to Business Funding Bill is anticipated to receive parliamentary approval by next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, in a recent session. This crucial legislation targets the financial obstacles facing micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue that has gained recognition both locally and globally.
Kamikamica emphasized the urgent need for increased access to finance, especially in rural regions where cooperatives have historically proven effective, particularly among the indigenous Taukei communities. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting the vital role these models can play in promoting sustainable development and social progress.
The government plans to modernize the existing legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Additionally, a newly established Cooperative Development Fund, recently approved by Parliament, aims to enhance the capabilities of cooperatives, underscoring the government’s commitment to this essential sector.
Public consultations conducted earlier this year revealed that many SMEs struggle to access traditional financing due to barriers such as inadequate revenue histories, credit ratings, or collateral. This has created a significant funding gap that the Access to Business Funding Bill aims to address through innovative financing solutions, including a small-offer regime for raising equity capital 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 growing optimism that it could foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and encouraging local economic growth, this initiative may bring considerable benefits to the broader community and enhance the resilience of Fiji’s economy. The proactive measures reflected in this legislation signify a hopeful commitment from the government to cultivate a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
In summary, the Access to Business Funding Bill represents a significant step towards improving financial accessibility for MSMEs and cooperatives in Fiji, ultimately aiming to stimulate economic growth and development within the community.
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