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Flexibility in Hotel Laws: A Key to Boosting Fiji’s Tourism MSMEs

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A call has been made for more flexible hotel regulations in Fiji to encourage the development of tourism-related micro, small, and medium-sized enterprises (MSMEs) and to promote community empowerment and inclusiveness. Watesoni Nata Jr, chairman of the MSME Council, emphasized the need for reform during the Fiji Tourism Convention 2024, which began in Denarau, Nadi, on Thursday.

Nata pointed out that while there is a demand for more accommodation, individuals wishing to open small resorts, homestays, or campsites face lengthy approval processes that can take three to four years, depending on land type. He highlighted that this issue affects local mataqali members and communities eager to utilize their land and engage in the tourism sector, stressing that changes need to be made.

As a lawyer turned businessman, Nata Jr advocated for a revision of the hotel licensing laws to create a new category tailored for smaller and community-based operators, such as homestays and campgrounds. He argued that the existing legislation hinders growth and limits accommodation choices.

Nata mentioned the potential for many operators to set up homestays and campsites with minimal capital investment and asserted the importance of supporting these types of businesses. He urged that the hotel licensing regulations accommodate varying business sizes and types, allowing for quicker openings.

He also noted that platforms like AirBnB have addressed significant barriers for smaller operators by providing an online presence and a user-friendly e-commerce solution.

The MSME Council, led by Nata Jr, is one of the nine councils under the Fiji Employers Federation (FCEF) organization. He participated as a panelist in the convention’s discussion on “Leveraging Tourism for Community Empowerment and Inclusivity.”

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