The Access to Business Funding Bill is set to be approved next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This legislation aims to address the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, which are issues recognized both locally and globally.
Kamikamica highlighted the pressing need for improved access to finance, particularly in rural regions where cooperatives have demonstrated their effectiveness, especially among the indigenous Taukei population. This initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, showcasing the potential role of cooperative models in promoting sustainable economic development and social progress.
The Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act this year. Furthermore, the newly established Cooperative Development Fund aims to enhance the operational capacity of cooperatives, reflecting the government’s commitment to this essential sector of the economy.
Public consultations carried out earlier this year highlighted that many SMEs encounter significant barriers in accessing traditional financing options due to factors like inadequate revenue histories, credit ratings, or collateral. This contributes to a substantial funding gap. The Access to Business Funding Bill aims to bridge this gap by introducing innovative financing solutions, including a small-offer regime designed to facilitate equity capital raising and provisions for investment-driven crowdfunding opportunities, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves closer to final approval, expectations are rising that it will foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative is poised to have positive impacts on the broader community and to enhance the resilience of Fiji’s economy.
This proactive approach by the government not only signifies a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem, but also aligns with the global recognition of the potential of cooperatives to contribute to sustainable development. The optimism surrounding the Access to Business Funding Bill points towards a future where greater financial inclusivity can empower small business owners and drive economic growth throughout the nation.
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