Increased emigration is helping to boost remittances to record levels and provide an economic safety net to many Fijian families.
However, according to the Asian Development Outlook (ADO) for April 2023, the private sector is reporting rising difficulties in attracting sufficiently qualified staff to fill their business needs.
ADB Senior Economic Officer Isoa Wainiqolo says to address the challenges, Fiji can continue to enhance its focus on training and skills development, job-matching programs, and initiatives to boost labor force participation rates.
Emigration trends when it comes to reporting this, and there are both benefits and potential drawbacks to emigration, so it is important that governments have proactive policies in place. They need to align the labour market policies to support future growth of the sectors.
Wainiqolo says to maintain growth momentum and encourage diversification, Fiji will need to put in place proactive labor market policies to address rising shortages of semi-skilled and skilled workers.
According to the Asian Development Outlook for April 2023, the positive effects of government spending, as well as the boost in tourism and remittances, spilled over into transport and wholesale and retail trade.