The Reserve Bank of Fiji recorded a net profit of $31.7 million for the 2020-2021 financial year.

This is slightly higher than the $30.1 million in the preceding financial year.

Governor Ariff Ali says the improvement was underpinned by a reduction in total operating costs.

A transfer of $32.9 million will be made to the government, including $2.2 million as one-fifth of the Revaluation Reserve Account.

Ali highlights that despite the challenging global and domestic economic environment, the Bank achieved its monetary policy objectives of adequate levels of foreign reserves and low inflation.

At the end of July 2021, foreign reserves totaled $3.1 billion equivalent to 10.8 months of retained imports cover, while inflation stood at -0.4 percent.

He adds Fiji’s financial system remained sound, with total gross assets at $24.1billion, as at 31st July 2021.

In terms of outlook, the Governor says that economic recovery is largely dependent on the progressive easing of COVID-19 related restrictions, reopening of domestic businesses, and the resumption of international tourism, which are all tied to vaccinating at least 80 percent of the adult population.

Ali adds continuing to assist vulnerable segments of society is imperative for sustaining livelihoods.