The Access to Business Funding Bill is expected to be approved next week, as confirmed by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, in a parliamentary announcement. This significant legislation seeks to address the financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji, an issue recognized nationally and internationally.
Kamikamica emphasized the urgent need for improved access to finance, particularly in rural regions where cooperatives have demonstrated their effectiveness among the indigenous Taukei communities. This initiative aligns with the United Nations’ designation of 2025 as the International Year of Cooperatives, highlighting the vital role cooperative models can play in promoting sustainable development and social progress.
To support the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with amendments to the Co-operatives Act anticipated this year. Additionally, a newly established Cooperative Development Fund, which recently received parliamentary approval, aims to enhance the operational capabilities of cooperatives, underscoring the government’s commitment to this key sector of the economy.
Public consultations earlier this year revealed that many SMEs encounter significant barriers when trying to access traditional financing options, often due to insufficient revenue histories, credit ratings, or collateral. This has led to a substantial funding gap that the Access to Business Funding Bill seeks to fill through innovative financing solutions. These include a small-offer regime that allows private companies to raise equity capital more easily and provisions for investment-driven crowdfunding options such as equity crowdfunding (ECF) and peer-to-peer lending (P2PL).
As the bill progresses towards approval, there is a growing sense of optimism 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 improvements for the broader community and enhance the overall resilience of Fiji’s economy. The government’s proactive measures reflect a hopeful commitment to nurturing a vibrant entrepreneurial ecosystem capable of supporting sustained growth and development throughout the nation.
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