IMF predicts Fiji’s economy to grow by about 7.5% this year

IMF predicts Fiji’s economy to grow by about 7.5% this year

By Rashika Kumar
Wednesday 22/03/2023
Head of IMF Mission to Fiji, Marshall Mills

Fiji’s economy is expected to grow at about 7.5 percent this year, according to the International Monetary Fund.

The Head of IMF Mission to Fiji, Marshall Mills says they expect output to roughly reach the pre-pandemic level this year or next year and with continuing reforms, growth could remain strong and above 3 percent for the next few years as the recovery completes and hopefully momentum is maintained through confidence.

Mills says they expect inflation to remain stable and for the current account deficit to remain at manageable levels and below what it is now.

Mills further says Fiji is experiencing strong economic recovery from the pandemic.

He says real GDP growth rebounded by an estimated 16 percent in 2022 driven by strong revival in tourist inflows.

Mills says supported by strong economic recovery, fiscal deficits are falling from 12.2 percent in the last financial year to a projected 7.7 percent for this financial year.

He says the central government debt remains stubbornly high at around 85 percent of the GDP.

Mills says with the stabilization in global commodity prices and the still partial recovery in tourism, the current account deficit remained at an estimated 14 percent of GDP in 2022.

He says however, foreign exchange reserves remained relatively comfortable at 6.2 months of prospective imports, cushioned by occasional financing from donors and remittance.

The Country Mission Head further says Fiji’s high debt deprives it of the fiscal space to respond to shocks.

Mills adds spending should be disciplined and gradually reoriented to boost growth, enhance resilience and promote inclusion.

FEATURE NEWS
Malimali accepts JSC Chair’s request to take leave
FICAC Commissioner, Barbara Malimali has voluntarily accepted to take leave after Chair of the Judicial Services Commission, Chief Justice Salesi Temo...
4 hours ago
LATEST NEWS
Sean ‘Diddy’ Combs claims federal charge was racially motivated
Sean “Diddy” Combs’ legal team is going on the offensive with a new motion that seeks to dismiss one of the three federal charges against him, ...
1 hour ago

APTC and NEC partner to address unemployment issue and stimulate economic growth in Fiji
The Australia Pacific Training Coalition (APTC) has teamed up with Fiji's National Employment Centre (NEC) to introduce a new skills training ...
1 hour ago

Registrar’s lawyers seek legal costs from Alvick Maharaj
The Registrar of Political Parties, Ana Mataiciwa through her lawyers, Shailend Krishna of Krishna and Co is now seeking legal costs from independent ...
1 hour ago

Civil servants reminded to be productive – Prof. Prasad
Civil servants need to be productive so that the standard of service delivery can improve as there is an indication of a significant lapse in labour ...
2 hours ago

Calls grow for permanent ban on deep sea mining in Fiji
Environmental advocates are calling for a total ban on deep sea mining in Fiji, citing concerns over its potential transboundary impacts and the lack ...
3 hours ago



fijivillage Straight Talk with Vijay Narayan
Latest Videos

Stay tuned for the latest news on our radio stations

CFL radio frequencies
yb
IN DEPTH
World Radio Day
Radio remains one of the best mediums for news and information for a number of reasons and in situations such as natural disasters and political ...
7 days ago

Health Minister Dr Lalabalavu on fijivillage Straight Talk with Vijay Narayan
Health Minister, Doctor Ratu Atonio Lalabalavu on fijivillage Straight Talk With Vijay ...
15 days ago

PM Rabuka on fijivillage Straight Talk With Vijay Narayan
Prime Minister, Sitiveni Rabuka on fijivillage Straight Talk With Vijay Narayan. The in-depth interview will focus on many issues facing the ...
19 days ago

TOP