The World Bank has recently released an economic update highlighting the uncertain tourism outlook for the Pacific region, primarily due to an expected slowdown in global economic growth. The forecast anticipates growth to decline to 2.3 percent in 2025, reflecting poorer performance across many economies compared to 2024. Fiji is especially impacted, reporting a 4 percent drop in tourist arrivals in the first quarter of 2025 from major markets such as Australia, New Zealand, and the USA, challenging previous expectations for a 3-5 percent growth in international arrivals.
In this context, the World Bank emphasizes the need for the 11 member countries of the Pacific Islands Forum (not including Papua New Guinea) to harness the underutilization of women in the workforce to boost economic resilience. The publication, titled “Employ Women, Empower the Pacific: A Strategy for Uncertain Times,” advocates for increased female labor force participation, suggesting that closing gender gaps in employment could potentially raise GDP per capita by an average of 22 percent across the region. The benefits could vary significantly by country, with Fiji possibly seeing a 30 percent increase.
The World Bank also acknowledges the necessity for Pacific nations to implement structural reforms to unlock this potential while enhancing resilience against global economic volatility. The projected growth for Fiji has been downgraded to 2.6 percent for 2025, correlating with the anticipated softness in tourism.
While these developments present significant challenges, the focus on empowering women in the labor market holds transformative potential. By addressing underlying gender disparities, Pacific nations could build a more robust economic foundation capable of weathering uncertainties. Investing in female labor force participation is not only a step toward equality but also a critical strategy for economic recovery and sustainable growth in the region.
Leave a comment