The Access to Business Funding Bill, which seeks to tackle the significant financial challenges facing micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, is expected to gain approval next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This initiative is particularly important in light of the government’s awareness of the pressing need for improved access to finance, especially in rural areas where cooperatives have historically proven effective, particularly among the indigenous Taukei communities.
This legislative effort aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the potential role that cooperative models can play in fostering sustainable development and social progress. Recognizing the challenges that MSMEs face in securing traditional financing—often linked to barriers such as inadequate revenue histories, credit ratings, or collateral—the Access to Business Funding Bill aims to bridge this financing gap.
The Bill proposes innovative solutions, including a small-offer regime that simplifies the process for private companies to raise equity capital, along with provisions for investment-driven crowdfunding options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL). These measures are designed to facilitate easier access to funds, thereby supporting the growth of local businesses and enhancing economic resilience.
Furthermore, the Fijian government intends to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act anticipated this year. The recently approved Cooperative Development Fund will also enhance the operational capacity of these cooperatives, reflecting the government’s commitment to improving this essential sector.
The growing optimism surrounding the bill’s approval highlights a hopeful future for the entrepreneurial landscape in Fiji, as it aims to empower local entrepreneurs and stimulate economic growth, ultimately benefiting the wider community. This proactive legislative approach indicates a commendable commitment from the government to foster a vibrant ecosystem for sustained growth and adaptability, paving the way for a more inclusive financial environment.
Overall, the passage of this Bill could potentially reshape the financial landscape for MSMEs in Fiji, providing them with the necessary tools to thrive and contribute significantly to the nation’s economy.
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