Reserve Bank of Fiji [Photo: FILE]

Nearly $1 billion in approved private-sector loans remain undisbursed amid regulatory and approval delays.

Reserve Bank of Fiji Governor Ariff Ali highlighted the issue during the State of the Fijian Economy Dialogue 2026.

Ali says this is one of the key obstacles to economic growth at a time when the country is facing slower growth, rising costs and high debt levels.

He states that the funding already approved by commercial banks shows that capital is available for businesses willing to invest.

“There’s almost a billion dollars of loans that the private sector, that the commercial banks have already approved, but this is not drawn down. Why isn’t it drawn down? That’s the question. And when you talk to the private sector, they say they’re waiting for some approval. So the economy can quickly come up if you give approvals on time. Of course, there are some, if the approvals cannot be given, then that needs to be communicated quickly. So the private sector in Fiji has always been resilient.”

However, Ali says many businesses are adopting a wait-and-see approach.

“Right now, there’s a bit of a wait-and-see attitude as you get closer to election, and this is not common with this election. This has been common in all the elections for almost 35 years I’ve been in the bank. The only difference is 2014, slightly. Otherwise, there’s always a wait-and-see attitude. So my short solution to the challenges we have right now is how can we get the private sector to invest? And to me, the bottom line is, you know, find out what the problem is, if there are agencies.”

Fijian Holdings Limited Group Chief Executive Officer Jaoji Koroi states uncertainty continues to influence investment decisions across the business community.

“In the business community, gone are the days that you think that things will be sailing smoothly. Uncertainty will always, and it’s becoming more relevant now, it’s part of what we go through in our daily lives.”

Koroi adds that reducing uncertainty and improving confidence will be critical to encouraging investment and unlocking growth.