The Access to Business Funding Bill is expected to gain approval next week, according to Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent parliamentary session. This significant piece of legislation aims to tackle the financial challenges that micro, small, and medium enterprises (MSMEs) and cooperatives face in Fiji, an issue recognized both locally and internationally.
Kamikamica highlighted that improved access to finance is essential for economic empowerment, particularly in rural regions where cooperatives have demonstrated effectiveness, especially among the indigenous Taukei population. This initiative aligns with the United Nations’ declaration that 2025 will be celebrated as the International Year of Cooperatives, emphasizing the role of cooperative models in promoting sustainable development and social progress.
To bolster the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected to be introduced this year. Additionally, the Cooperative Development Fund, which recently received parliamentary approval, aims to significantly enhance the operational capabilities of cooperatives, thereby reinforcing the government’s commitment to strengthening this vital sector.
Public consultations earlier this year revealed substantial barriers that SMEs encounter when seeking traditional financing, often due to inadequate revenue histories, credit ratings, or collateral, leading to a significant funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing innovative financing solutions, including a small-offer regime that facilitates raising equity capital 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 moves toward approval, there is a growing sense of optimism that it will create a more inclusive financial environment in Fiji. By empowering entrepreneurs and encouraging local economic growth, this initiative is expected to benefit the broader community and enhance the resilience of Fiji’s economy. The proactive measures outlined in this legislation indicate a hopeful commitment from the government to foster a vibrant entrepreneurial ecosystem capable of sustaining long-term growth and development nationally.
This initiative is gathered with enthusiasm, indicating that there may be a brighter economic future for many individuals and communities in Fiji, laying the groundwork for sustainability and progress in the years to come.
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