The Cabinet of Fiji has approved significant amendments to the funding agreements with the Government of Australia pertaining to the Fiji Budget Support Programme (FBSP) and the Fiji Social Infrastructure Programme (FSIP). This marks the first revision to the Direct Funding Arrangement since its inception.

As a result of these changes, total funding allocated for the FBSP will increase from AUD 58 million to a maximum of AUD 108 million. Additionally, the FSIP will see an uplift of AUD 10 million, bringing its total budget to AUD 32.25 million. With the increased financing, the FSIP is set to enhance critical projects including the implementation of the Priority Infrastructure Plan for the Colonial War Memorial Hospital, among other urgent capital works.

This latest allocation aligns with Australia’s previous commitment of AUD 87 million in grant funding to Fiji, which aims to support various essential sectors, including infrastructure, health, and education, as well as initiatives tackling climate change. As stated by Fiji’s Deputy Prime Minister and Minister for Finance, Biman Prasad, this funding forms part of a broader effort under Australia’s budget support programme designed to sustainably finance Fiji’s development goals.

Over recent years, Fiji has benefited from over AUD 580 million in Australian funding that includes support for social infrastructure programmes, cyclone recovery efforts, and education initiatives. The ongoing collaboration through the Vuvale partnership reinforces both countries’ dedication to promoting stability and development in the region.

This new funding notably will aim at fostering economic resilience and enhancing public financial management for the betterment of Fiji’s critical infrastructure, thereby contributing to a more sustainable future for its citizens.

In summary, these amendments not only reflect a substantial increase in funding but also promise to further bolster essential services and infrastructure in Fiji, showcasing the strong relationship and commitment between Australia and Fiji towards mutual prosperity.