Fiji does not belong on EU’s blacklist says FRC

June 17, 2024 10:46 am

The Fiscal Review Committee believes that Fiji does not belong on the European Union’s blacklist.

The Committee highlighted this in their submission to government.

The Committee is concerned that Fiji remains on the EU’s blacklist of countries seen to encourage unfair tax practices.

Article continues after advertisement

It says being on this blacklist creates a poor reputation for Fiji as an investment destination and actively impedes foreign direct investment from EU countries.

The Committee acknowledges the steps being taken now by the coalition government to address the issue.

It says some simple compliance matters required by the EU such as joining the G20 OECD Inclusive Framework on Base Erosion and Profit Shifting had not been attended to when the blacklisting was imposed in 2019 however, government is now taking those steps.

The Committee also observed that export income deduction incentive, which appears to trouble the EU, is valuable to manufacturers and exporters and to the promotion of exports of goods and services, and should be retained, or alternatively substituted with an alternative method of support.