The Access to Business Funding Bill is on track to be approved by next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a recent parliamentary session. This crucial legislation aims to mitigate the significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, a pressing issue recognized both locally and globally.
Kamikamica emphasized the critical need for improved access to financing, particularly in rural areas where cooperatives have proven effective, especially among the indigenous Taukei communities. The initiative aligns with the United Nations’ declaration of 2025 as the International Year of Cooperatives, which seeks to highlight the role that cooperative models can play in promoting sustainable economic development and social progress.
The Fijian government intends to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act expected this year. Moreover, the newly approved Cooperative Development Fund aims to enhance the operational capabilities of cooperatives, reflecting the government’s commitment to bolstering this essential sector.
Recent public consultations have shown that many SMEs struggle to access traditional financing options due to barriers such as insufficient revenue histories, credit ratings, or collateral, resulting in a noticeable funding gap. The Access to Business Funding Bill is set to address these challenges by introducing innovative financing solutions. This includes a small-offer regime that would facilitate easier equity capital raising and provisions for investment-driven crowdfunding options, such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill moves toward approval, optimism is growing about its potential to create a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could lead to significant positive impacts for the broader community and enhance the resilience of Fiji’s economy. The proactive measures reflected in this legislation demonstrate a hopeful commitment from the government to cultivate a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
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