ADDITIONAL options for capital raising are now available for businesses, with the commencement of the Access to Business Funding Act 2025 early this month.
In a statement, the Ministry of Trade said this marked a significant milestone in expanding financing options for businesses, particularly micro, small and medium enterprises MSMEs) in Fiji.
“This Act now modernises the legal framework that enables private companies and other businesses to access investor and lender funding through innovative mechanisms,” it stated.
“The reforms are designed to reduce long standing barriers to finance for MSMEs and other enterprises by creating clear, regulated pathways for raising capital beyond traditional bank lending.”
Beginning with the new Small Offers regime, private companies will now be allowed to raise up to $2million in any 12 month period from a maximum of 48 investors, subject to investor caps and disclosure requirements. “Small Offers simplifies compliance for businesses while maintaining robust investor protections, including limits for retail, sophisticated and wholesale investors and a requirement to lodge a Basic Information Package with RBF before any offer is made,” the Ministry stated.
“The Act and Regulations for Small Offers give MSMEs an additional, flexible avenue to raise equity capital from people and institutions that already know and support their business, complementing existing government grant and loan schemes.”
The Ministry cautioned that this was “not a government grant or subsidy” but “a regulated investment pathway that connects businesses with private investors and financial institutions, unlocking new sources of growth capital and supporting job creation.”
“The Ministry will host an information session for businesses interested in learning more about the Act and the Small Offers regime,” it stated.
The Act is a result of collaboration between the Fiji Government, RBF and the Asian Development Bank’s Pacific Private Sector Development Initiative (PSDI).
“PSDI is pleased to support the Government of Fiji and RBF in the implementation of this important new legislation expanding fundraising avenues for MSMEs through innovative financing mechanisms,” senior finance sector specialist at the Asian Development Bank’s Pacific Private Sector Development Initiative (PSDI) Jeremy Cleaver said.
“As the first of its kind in the Pacific, it represents an important step forward for Fiji and for the region.”
An Implementation Taskforce comprising the Trade Ministry, the Registrar of Companies, the Office of the Solicitor – General, the RBF, the MSME Council and technical partners and sponsor PSDI, continue to oversee phased implementation of the new framework, which includes the work on equity and debt crowdfunding mechanisms that will build on the Small Offers regime, as well as targeted awareness and education programmes so that MSMEs and investors understand both the opportunities and obligations under the new law.
