The Access to Business Funding Bill is on track for approval next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a session in Parliament. This significant legislation aims to tackle the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue recognized both locally and internationally.
Mr. Kamikamica emphasized the urgent need for improved access to finance, particularly in rural areas where cooperatives have demonstrated their effectiveness among the indigenous Taukei communities. The initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, which reinforces the crucial role of cooperative models in promoting sustainable economic development and social progress.
To strengthen the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act expected this year. Additionally, the recently established Cooperative Development Fund is aimed at enhancing the operational capabilities of cooperatives, showcasing the government’s commitment to this vital sector.
Public consultations earlier this year revealed that many SMEs face substantial barriers to accessing traditional financing, often due to insufficient revenue histories, credit ratings, or collateral. This has resulted in a significant funding gap that the Access to Business Funding Bill aims to address. The bill introduces innovative financing solutions, including a small-offer regime to facilitate easier equity capital raising and provisions for investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves towards approval, there is growing optimism about its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could lead to significant benefits for the broader community and enhance the overall resilience of Fiji’s economy. The proactive measures reflected in this legislation signify a hopeful commitment from the government to nurture a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
This effort not only represents a strategic approach to addressing financial accessibility but also highlights the government’s recognition of the importance of cooperative models in driving sustainable development.
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