Fiji’s workforce is facing mounting pressure from mass migration, skills shortages and rising health and drug-related challenges, with the Finance Ministry warning these could undermine economic growth.

Speaking at the launch of the World Bank’s 2026 Fiji Economic Update, Permanent Secretary for Finance Shiri Goundar says the labour market outlook is scary, warning the consequences could be severe for businesses, government and the wider economy.

The PS states that tough reforms are needed to remove structural barriers that continue to constrain growth.

“We have private sector colleagues that are going to talk more about the challenges that we, post-pandemic, we are seeing in terms of skills, the massive migration that we have had, and with the current NCD crisis, HIV and drugs, the outlook in terms of the labour market is quite scary and if not addressed, it’s going to be a major challenge for the private sector, the government, and for the economy.”

Goundar said addressing these challenges was particularly important as Fiji needed the private sector to take a greater role in driving economic growth.

“There’s no other options left for this nation but to help the private sector take the lead in the growth and development of the country. It’s much easier said, I think we’ve always had bureaucrats and politicians talking about the private sector taking the lead, but it needs a lot of tough decisions also around reforms that are going to address some of our major structural impediments in this country that has been blocking growth and development.”

The World Bank Group Division Director for the South and North Pacific Tatiana Proskuryakova, says reliable data and informed policymaking were essential to supporting stronger growth and better jobs.