[File Photo]

Fiji’s inflation rate dropped to -0.9 percent last month, marking the lowest monthly rate since May 2021 and a significant decline from 7.1 percent recorded in April last year.

Deputy Prime Minister and Minister for Finance Professor Biman Prasad says the decline in inflation reflects easing price pressures across key categories, particularly food, transport, clothing, and utilities.

Professor Prasad says it reflects the combined impact of favorable global commodity trends, particularly falling fuel prices and the Government’s targeted interventions to contain cost-of-living pressures.

Deputy Prime Minister and Minister for Finance Professor Biman Prasad [File Photo]

He adds that inflation is expected to remain subdued, providing much-needed relief for families across the country.

Professor Prasad says that since taking office, the Government has implemented a comprehensive range of measures to cushion vulnerable households from inflationary shocks.

These include maintaining zero VAT on 22 essential food and household items, increasing social welfare assistance by 15 to 25 percent, and writing off $650 million in debt owed by more than 53,000 families.

He adds that the Government has delivered broader structural support to enhance household income and economic resilience by raising the national minimum wage to $5.00 per hour as of April 2025.

Professor Prasad adds that the government also secured a record sugarcane price of over $100 per tonne for farmers and raised civil service salaries, injecting $85 million into the economy.

He adds that they also increased budgetary allocations to the agriculture, fisheries, and forestry sectors to drive rural livelihoods and food security.

Professor Prasad adds they will continue to monitor inflation developments closely and stand ready to take further action where necessary to support households and promote broad-based, inclusive economic growth.

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