The Access to Business Funding Bill is on track for approval next week, as announced by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during a recent session in Parliament. This crucial legislation seeks to address the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives—not only recognized in Fiji but acknowledged globally as a significant hurdle.
Kamikamica emphasized that access to finance is vital for promoting economic empowerment, particularly in rural areas where cooperatives have shown their effectiveness, especially among indigenous Taukei communities. This initiative dovetails with the United Nations’ designation of 2025 as the International Year of Cooperatives, which underscores the role of cooperative models in sustainable development and social progress.
To further support these economic efforts, the Fijian government plans to modernize the legal framework around cooperatives through proposed amendments to the Co-operatives Act this year. The newly established Cooperative Development Fund, which has received parliamentary approval, aims to bolster the operational capabilities of cooperatives.
Recent public consultations revealed that many SMEs struggle to secure traditional financing due to insufficient revenue histories, credit ratings, or collateral, leading to a significant funding gap. The Access to Business Funding Bill addresses these barriers by introducing alternative financing methods, including a small-offer regime that allows private companies to raise equity capital more easily, along with facilitating investment avenues such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As this bill progresses towards approval, there is widespread optimism that it will create a more inclusive financial environment in Fiji, empowering more entrepreneurs and contributing to local economic growth. These reforms hold great potential to establish a thriving entrepreneurial ecosystem, benefiting not only individual businesses but also enhancing the overall resilience of Fiji’s economy.
In this context, the government’s proactive approach represents a promising step toward ensuring a robust economic future for MSMEs and cooperatives, paving the way for innovative solutions that foster sustainable growth and support communities across the nation.
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