The Access to Business Funding Bill is preparing for approval next week, according to Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, who made the announcement during a parliamentary session. This vital legislation aims to tackle significant financial challenges that micro, small, and medium enterprises (MSMEs) and cooperatives face in Fiji—issues recognized both locally and internationally.
Kamikamica emphasized the urgent need for improved access to finance, especially in rural areas where cooperatives have historically proven effective, particularly among the indigenous Taukei community. This legislation aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, underscoring the importance of cooperative models in promoting sustainable economic development and social advancement.
To bolster the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with anticipated amendments to the Co-operatives Act this year. Additionally, a Cooperative Development Fund, recently approved by Parliament, will enhance the operational capacities of cooperatives, reaffirming the government’s commitment to strengthening this critical sector of the economy.
Public consultations conducted earlier this year revealed that many SMEs struggle to access traditional financing due to barriers such as inadequate revenue histories, credit ratings, or collateral, creating a substantial funding gap. The Access to Business Funding Bill aims to close this gap by introducing innovative financing solutions, including a small-offer regime for easier equity capital raising and provisions for investment-driven options like equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill approaches approval, there is increasing optimism regarding its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative is well-positioned to yield significant benefits for the broader community and enhance the resilience of Fiji’s economy. The government’s proactive measures, as reflected in this legislation, indicate a hopeful commitment to cultivating a vibrant entrepreneurial ecosystem that can sustain long-term growth and development throughout the nation.
In essence, this initiative could play a pivotal role in unleashing the entrepreneurial potential of Fijians, notably enhancing opportunities for MSMEs in transitioning to a more robust economic future.
Leave a comment