Fiji Airways, the national airline of Fiji, has reported a significant debt of $678 million as of July 31, 2025. This figure reflects a reduction in debt from $682 million reported at the end of 2023. During a presentation of the airline’s 2023 annual report to the Parliamentary Standing Committee on Social Affairs in Suva, chairman Nalin Patel highlighted the airline’s ongoing efforts to manage its debt, largely accumulated during the COVID-19 pandemic.
In 2023, Fiji Airways successfully paid back $100.4 million in loans and refinanced around $95 million of its foreign debt with domestic borrowings. Mr. Patel explained that, previously, the airline had been burdened with expensive foreign currency-based debt, which was refinanced at a lower interest rate through local channels. He noted that while approximately $110 million of loans were repaid in 2024, a new loan of about $150 million was also acquired, resulting in a total debt of $722.1 million by the end of the year.
Responding to inquiries about the airline’s financial obligations, particularly regarding its debt to the Fiji National Provident Fund (FNPF), outgoing CEO Andre Viljoen reassured that repayments to FNPF are being made annually and are closely monitored. He indicated that these loans are over-secured, providing FNPF with a comfortable level of assurance.
Fiji Airways has indeed faced considerable financial challenges, recording total losses exceeding $578.8 million from 2020 to 2022 due to the pandemic. However, in recent developments, the airline has demonstrated resilience. Throughout 2023, the airline not only repaid significant loans but also invested $109 million in capital projects, including initiatives aimed at enhancing future operations. This included $49 million allocated to the second phase of the Fiji Airways Aviation Academy and $34 million for aircraft maintenance programs.
Moreover, the airline reported a revenue increase, achieving $1.8 billion in 2023, which is a robust 67% rise from the previous year. This revenue marks the highest earnings in the airline’s 70-year history and shows a triumphant return to performance levels that exceed its pre-COVID figures.
In light of these efforts, Fiji Airways remains committed to its financial recovery and growth, fortifying its position within the aviation sector and paving the way for a promising future. This trajectory of increasing revenues and successful debt management demonstrates the airline’s capacity to navigate through difficulties and emerge stronger.
Leave a comment