The Access to Business Funding Bill is poised to receive approval next week, as confirmed by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent parliamentary session. This critical legislation aims to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, issues recognized both locally and globally.
Kamikamica emphasized the crucial need for improved access to finance, especially in rural areas where cooperatives have been effective, particularly among the indigenous Taukei population. This initiative is in line with the United Nations’ declaration of 2025 as the International Year of Cooperatives, which highlights the potential of cooperative models in promoting sustainable development and social progress.
The Fijian government also plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Furthermore, the recently established Cooperative Development Fund aims to bolster the operational capabilities of cooperatives, reinforcing the government’s commitment to this vital sector.
Public consultations earlier this year revealed that many SMEs encounter significant barriers when trying to access traditional financing options. These challenges often stem from insufficient revenue histories, credit ratings, or collateral, resulting in a considerable funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing alternative financing solutions, including a small-offer regime that allows private companies to raise equity capital more easily and provisions for investment-driven crowdfunding options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, optimism is growing regarding its potential to foster a more inclusive financial environment in Fiji. Empowering entrepreneurs and stimulating local economic growth, this initiative has the potential to benefit the broader community and enhance the resilience of Fiji’s economy. The government’s proactive measures signal a hopeful commitment to cultivating a vibrant entrepreneurial ecosystem that can sustain long-term growth and development across the nation.
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