The Access to Business Funding Bill is set to receive approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, in Parliament. The legislation aims to address the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, a matter noted both locally and internationally.
Kamikamica emphasized the critical need for enhanced access to finance, especially in rural regions where cooperatives have demonstrated effectiveness, particularly among the indigenous Taukei communities. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, underscoring the importance of cooperative models in promoting economic empowerment and social advancement.
The government plans to modernize the legal framework governing cooperatives, with expected amendments to the Co-operatives Act this year. The Cooperative Development Fund, recently approved by Parliament, is designed to bolster the operational capabilities of cooperatives, further affirming the government’s commitment to this key sector.
Recent public consultations highlighted the struggles many SMEs face in accessing traditional financing due to barriers such as inadequate revenue histories, credit ratings, or collateral, leading to a substantial funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing alternative 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).
As the bill progresses toward approval, optimism is rising regarding its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could have significant positive impacts on the wider community and enhance the resilience of Fiji’s economy. The government’s proactive approach indicates a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
This legislative initiative, by reducing barriers to funding, represents a hopeful leap forward for many businesses in Fiji, potentially transforming the local economy and enabling a broader spectrum of entrepreneurs to thrive.
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