The Access to Business Funding Bill is set to receive approval next week, as confirmed by Deputy Prime Minister and Minister for Trade Manoa Kamikamica during parliamentary proceedings. This crucial legislation aims to tackle significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives, challenges that Kamikamica emphasized are critical both locally in Fiji and globally.
Kamikamica has highlighted that improving access to finance is essential for fostering economic empowerment, particularly in rural areas where cooperatives play a vital role, especially for the indigenous Taukei communities. This legislative push coincides with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the importance of sustainable cooperative models in achieving economic development and social progress.
To further support these initiatives, the Fijian government plans to modernize the legal framework governing cooperatives by amending the Co-operatives Act this year. Additionally, the Cooperative Development Fund, which received parliamentary approval, is anticipated to significantly enhance the operational capacity of cooperatives across the nation.
Recent public consultations have revealed that many SMEs struggle to access traditional financing due to insufficient revenue streams, lack of credit history, or insufficient collateral, resulting in a substantial funding gap. The Access to Business Funding Bill seeks to bridge this gap by introducing innovative financing options, including a small-offer regime that facilitates private companies in raising equity capital more easily, as well as investment-driven avenues like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses toward approval, there is growing optimism that these reforms will cultivate a more inclusive financial environment in Fiji. By empowering entrepreneurs and facilitating local economic growth, this initiative has the potential to contribute positively to the broader community while enhancing the resilience of Fiji’s economy.
The proactive measures taken by the government represent a hopeful forward leap toward creating a robust entrepreneurial ecosystem that not only addresses immediate financial barriers but also paves the way for sustained economic growth, ultimately transforming the financial landscape for MSMEs and cooperatives in the region.
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