Business

Fiji’s economic rebound on track

June 26, 2022 5:34 pm

[File Photo]

Prime Minister Voreqe Bainimarama has confirmed that our economy recorded a net deficit of around $4.6 billion, which is 21 percent of the GDP over the past two years.

Speaking during the iTaukei Affairs Na iLalakai program on Radio Fiji One, Bainimarama says VAT collections also declined by 50 percent, equivalent to $2.8 billion and this is attributed to the COVID-19 restrictions.

Despite the contraction and other economic challenges posed by the pandemic, the Prime Minister remains optimistic that Fiji will regain adequate financial footing by year-end.

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“Based on the current forecast, Fiji is expected to achieve an increase in economic earnings of up to 11.3 percent this year, 8.5 percent next year, and 7.7 percent in 2024. I want to thank Fijians for their commitment towards the vaccination campaign, which has enabled the government to ease restrictions, and open up our borders for tourism activity.”

The Prime Minister says Fiji is expecting an increase in tourist arrivals over the next few months.

“We are expecting more tourists coming into Fiji over the next few months. A majority of them have already made their bookings, which is a good indication for our tourism industry. Most tourists who have been visiting Fiji for the past few months came from Australia.”

Bainimarama adds the government has spent around $500 million to assist Fijian workers who were affected by the pandemic since 2020.