The Fiji Development Bank (FDB) reported a profit of $5.5 million for the year 2024, reflecting a significant increase from the previous year’s profit of $3.78 million. During a recent presentation of the 2022 and 2023 financial reports to the Parliamentary Standing Committee on Economic Affairs, FDB’s General Manager of Finance and Administration, Saiyad Hussain, highlighted this positive growth.
In response to committee member Premila Kumar’s inquiry regarding the bank’s priorities in profit generation, Mr. Hussain emphasized the institution’s commitment to facilitating loan accessibility for its clients. He noted that while the bank is profitable, it has strategically reduced interest rates on many loan products to support its customers. For instance, the sustainable SME loan package offers an interest rate of 3.99%, with other packages ranging between 3.9% and 4.5%, which are competitively low in the current market.
Mr. Hussain further elaborated on the FDB’s operational model, explaining that while their costs of funding are slightly higher due to borrowing from the market, they aim to provide attractive loan options to remain competitive with other commercial banks.
Overall, the FDB’s recent financial success and commitment to reducing lending costs suggest a favorable outlook for both the bank and its clientele. This approach not only fosters economic growth but also enhances financial inclusion in Fiji, positively impacting local businesses and the community at large.
In summary, the bank’s profit increase indicates strong financial health while its focus on lower interest rates demonstrates a commitment to supporting customers, hinting at a balanced approach between profitability and service enhancement.
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