ADB looks to expand MSME financing

The Asian Development Bank is looking at ways to expand financing for Fiji’s micro, small and medium enterprises, as the Government seeks to grow the sector’s contribution to the economy.

Deputy Prime Minister and Minister for Industries, Commerce and Business Development Manoa Kamikamica discussed financing opportunities with ADB representatives during a meeting in Suva.

Kamikamica says MSMEs currently contribute about 18 percent of Fiji’s Gross Domestic Product and the Government aims to increase this to 40 percent.

Outlined programmes included financing and technical support to smaller businesses, including those unable to secure conventional bank loans.

These include the ADB Wayfinder Pacific programme, which provides up to $US165 million in blended financing, and ADB Frontier Seed, which offers eligible businesses up to $USD400 thousand in early-stage funding.

Cuurently, two Fiji-based businesses benefiting from ADB Frontier are coastal aquaculture enterprise, SeaPAC and performing arts company, VOU.

The discussions also highlighted opportunities to support women-led cooperatives and strengthen coordination between Government ministries and the ADB to improve access to development financing.