The Access to Business Funding Bill is set for approval by next week, as announced by Deputy Prime Minister and Minister for Trade, Manoa Kamikamica, during a parliamentary session. This crucial piece of legislation aims to tackle significant financial challenges faced by micro, small, and medium enterprises (MSMEs) and cooperatives in Fiji—issues acknowledged both locally and internationally.
Kamikamica highlighted the pressing need for better access to finance, particularly in rural areas where cooperatives have shown effectiveness, especially among the indigenous Taukei community. This initiative is aligned with the United Nations’ designation of 2025 as the International Year of Cooperatives, emphasizing the importance of cooperative models in promoting sustainable economic development and social progress.
To enhance support for the cooperative sector, the Fijian government plans to modernize the legal framework governing cooperatives, with expected amendments to the Co-operatives Act this year. Additionally, a newly approved Cooperative Development Fund aims to bolster the operational capabilities of cooperatives, reinforcing the government’s commitment to this vital sector.
Public consultations earlier this year revealed that many SMEs face significant barriers to accessing traditional financing, often due to factors like inadequate revenue histories, credit ratings, or collateral, resulting in a substantial funding gap. The Access to Business Funding Bill seeks to bridge this gap through innovative financing solutions, including a small-offer regime that facilitates private companies in raising 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 toward approval, optimism is growing about its potential to foster a more inclusive financial environment in Fiji. By empowering entrepreneurs and stimulating local economic growth, this initiative could lead to considerable benefits for the broader community, further enhancing the 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.
This legislation not only aims to alleviate financial challenges but also serves as a step toward greater economic empowerment and support for the cooperative sector, fostering a more unified and prosperous future for Fiji.
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