The Access to Business Funding Bill is set to be approved by next week, as confirmed by the Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent parliamentary session. This significant legislation is aimed at addressing the pressing financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue which has been recognized both locally and internationally.
Kamikamica underlined the critical need for enhanced access to finance, especially in rural areas where cooperatives have demonstrated their effectiveness among the indigenous Taukei communities. This initiative coincides with the United Nations’ declaration designating 2025 as the International Year of Cooperatives, thereby highlighting the essential role that cooperative models can play in fostering sustainable economic development and social progress.
To bolster the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act expected to be introduced this year. Furthermore, the recently approved Cooperative Development Fund aims to enhance the operational capabilities of cooperatives, reflecting the government’s commitment to this vital economic sector.
Earlier public consultations highlighted that many SMEs struggle to access traditional financing options due to barriers such as insufficient revenue histories, credit ratings, or collateral requirements, resulting in a significant funding gap. The Access to Business Funding Bill seeks to address these challenges by introducing alternative financing options, including a small-offer regime that facilitates easier equity capital raising, as well as provisions for investment-driven crowdfunding mechanisms like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, optimism is building regarding its potential to create a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could yield considerable benefits for the broader community and enhance the resilience of Fiji’s economy. The proactive measures taken through this legislation represent a hopeful commitment from the government to foster a vibrant entrepreneurial ecosystem that can sustain long-term growth and development throughout the nation.
In summary, the Access to Business Funding Bill is not just legislation—it represents a strategic step towards economic empowerment and sustainability for Fiji’s small businesses and cooperatives, promising to bridge the gap in financial access and foster broader community resilience.
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