The Access to Business Funding Bill is poised for approval next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent session in Parliament. This significant legislation aims to address the considerable financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue recognized both locally and internationally.
Kamikamica emphasized the critical need for enhanced access to finance, particularly in rural areas where cooperatives have demonstrated their effectiveness, especially among the indigenous Taukei communities. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, highlighting the essential role that cooperative models can play in promoting sustainable economic development and social progress.
The Fijian government is also planning to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected to be tabled this year. Additionally, the recently approved Cooperative Development Fund is set to enhance operational capabilities of cooperatives, thereby reinforcing the government’s commitment to this vital sector.
Public consultations earlier this year revealed that a significant number of SMEs encounter barriers to accessing traditional financing due to insufficient revenue histories, credit ratings, or collateral, resulting in a notable funding gap. The Access to Business Funding Bill intends to bridge this gap by introducing innovative financing solutions, including a small-offer regime that will simplify equity capital raising for private companies, as well as provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses towards approval, there is a rising optimism regarding its potential to foster a more inclusive financial landscape in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could yield substantial benefits for the broader community and enhance the resilience of Fiji’s economy. The proactive measures reflected in this legislation are a hopeful commitment from the government to cultivate a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and development across the nation.
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