Josefa Sigavolavola 
Acting Prime Minister and Minister for Finance Professor Biman Prasad has commended the Fijian business community for passing on cost savings to consumers following the government’s tax reductions, a move he says is contributing to lower inflation and easing the cost of living.
In an interview, Prof Prasad noted that the collaboration between government, regulatory agencies, and businesses is delivering real results for Fijians.
He says the inflation figures show that most businesses have passed on the VAT reduction to consumers.
Article continues after advertisement“I’m very pleased to say that the figures, the inflation figures show that most people have passed on the reduction in VAT to the consumers, and I want to take this opportunity to thank the business community and everyone involved in making sure that Government policy, whether it’s reduction in duty, whether its reduction in VAT is passed onto the consumers.”
The record profit transfer from the RBF is largely due to high interest rates in international markets, while profit-making is not the central mandate of the RBF, the strong performance adds critical support to government finances.
Prof Prasad further highlights that Fiji has now recorded seven consecutive months of negative inflation, contradicting public claims that the government’s revenue measures were increasing the cost of living.
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