The recent World Bank report highlights that Fiji is forecast to have one of the highest increases to GDP in East Asia and the Pacific over the coming years.

World Bank says Fiji amongst other EAP countries continues to benefit from the resilient flow of remittances from Australia, New Zealand, and the United States.

It adds that tourism-dependent economies are not expected to recover to pre-pandemic levels until later this year until 2023.

The report also shows that following a strong rebound in 2021, the global economy is entering a pronounced slowdown amid fresh threats from COVID-19 variants and a rise in inflation, debt, and income inequality that could endanger the recovery in emerging and developing economies.

The global recovery is set to decelerate amid continued COVID-19 flare-ups, diminished policy support, and lingering supply bottlenecks.
It states that the rapid spread of the Omicron variant indicates that the pandemic will likely continue to disrupt economic activity in the near term.

World Bank Group President David Malpass says the world economy is simultaneously facing COVID-19, inflation, and policy uncertainty, with government spending and monetary policies in uncharted territory.

Malpass adds that rising inequality and security challenges are particularly harmful for developing countries.

He says that putting more countries on a favorable growth path requires concerted international action and a comprehensive set of national policy responses.