The Ministry of Tourism admits that encouraging tourist spending has long been a challenge for Fiji, citing the need to improve the quality and variety of products and services offered to visitors.

In response to a recent statement made by a bank highlighting a shift in traveller behavior with tourists becoming more cost-conscious and spending less per trip compared to previous years, Minister Viliame Gavoka stressed the importance of addressing these changes.

While tourist arrivals have remained steady, Gavoka adds that individual visitor spending remains below expectations, largely due to a lack of appealing, high-quality local products, limited shopping options, and the need for improved service experiences.

The Ministry also notes that empowering local communities and small businesses to participate in the tourism value chain could help improve both the quality and accessibility of products available to tourists.

“It’s been a problem that we’ve heard in the past that people go back, leave Fiji with money in their pocket. We are driving that very strongly, including creating more activities so that they can go out and enjoy the villages, the mountains and the hills, the cruising, and all that. It’s a challenge for us, but it’s been there for a while, and we’ll continue to work to ensure that there’s more to do for tourism here.”

Gavoka adds that efforts are now underway to work with industry stakeholders to identify key areas for improvement and innovation in Fiji’s tourism offerings, with the goal of making the country a leading hub for tourism in the region.

Deputy Prime Minister and Minister for Finance, Professor Biman Prasad, says tourist spending depends on factors such as prices, the quality of services offered by hotels and tourism businesses, and the growing competition for accommodation.

“And hotels, obviously, will have to think very carefully about their pricing. So I think it’s an adjustment that businesses, markets, consumers, and tourists make.”

He says many investments are happening, tourist numbers remain steady, and overall indicators are positive; although spending may vary by month, strong economic and investment policies are helping the economy grow.

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