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Fiji Airways is facing growing pressure as global fuel prices continue to drive up operating costs.

The government says support measures are in place but more options are being considered if the situation worsens.

Finance Minister Esrom Immanuel states the airline is dealing with a fuel-driven cost shock.

He said Fiji Airways would eventually face two difficult choices if fuel prices remain high. Those options are to increase airfares or reduce flight services.

He warns that either decision would affect tourism and the wider economy.

Immanuel says Government and industry have agreed on a temporary support package to avoid that outcome.

The package includes a five per cent industry contribution and a planned $200 million Government guarantee for Fiji Airways.

He says the airline carries the bulk of Fiji’s international visitors and remains critical to the tourism sector.

Permanent Secretary for Finance Shiri Goundar said fuel was the airline’s largest operating cost.

“Given that it is such a critical strategic asset for the country,there’s been a lot of thinking and discussions happening behind the scenes. There’s a lot of other options that’s been discussed.”

Goundar said the support package was designed to keep flights operating while limiting the impact on passengers.

He also explained that the government is also working with the Fiji National Provident Fund and the Fiji Development Bank to strengthen support for the airline.

However, Goundar says officials are already preparing for the possibility that the crisis could continue.

He says Fiji Airways is a strategic national asset and discussions are underway on additional measures if fuel prices remain elevated.

The government says the current support is temporary.

Its priority, according to the PS is to keep Fiji Airways operating, protect tourism and minimise the impact of ongoing global fuel volatility.