The Access to Business Funding Bill is expected to receive approval next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This key 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 globally.
Kamikamica stressed the urgent need for improved access to finance, particularly in rural areas where cooperatives have proven effective, especially among the indigenous Taukei communities. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting the potential role cooperative models can play in fostering sustainable development and social progress.
To support the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act scheduled for this year. Additionally, a newly approved Cooperative Development Fund aims to enhance the operational capabilities of cooperatives, showcasing the government’s commitment to strengthening this vital sector of the economy.
Earlier public consultations have revealed significant barriers SMEs face in accessing traditional financing. Issues such as inadequate revenue histories, credit ratings, and lack of collateral have created a notable funding gap. The Access to Business Funding Bill seeks to bridge this gap by introducing innovative financing solutions, including a small-offer regime that facilitates easier equity capital raising and provisions for investment-driven crowdfunding options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
There is growing optimism regarding the bill’s potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative promises to bring substantial benefits to the wider community and enhance the resilience of Fiji’s economy. The proactive measures articulated in this legislation reflect a hopeful commitment from the government to nurture a vibrant entrepreneurial ecosystem that can support sustained growth and development throughout the nation.
Overall, this legislative effort illustrates a positive advancement for the business community in Fiji, creating opportunities for greater financial access that could significantly empower local economies and strengthen the cooperative sector.
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