A report by ANZ Bank says Fiji is back to trending growth, but it will not be all plain sailing.

It highlighted that Fiji’s swift rebound from the pandemic-induced downturn has been impressive.

The report adds that while another good year is locked in for tourism, the industry may expect to run out of steam.

It says that tourism’s problem in Fiji is supply, not demand, and this shortfall can mean that tourism’s contribution to GDP growth is likely to start dropping.

The report says increasing supply means adding room capacity, which takes time.

ANZ says it does not see tourism returning as the main driver of GDP growth until later this decade.

It further says that the industry sectors benefiting directly from international tourism are accommodation, food services, and transport.

It says both industries are expanding and are expected to have another good year before tapering off.