The government has officially entered into a loan agreement with the Asian Development Bank (ADB) valued at approximately USD $70 million (FJD $160.3 million). This policy-based concessional loan will support the Fiji Climate Resilience and Sustainable Growth Programme.
During the signing ceremony held at the Pacific Island Forum in Suva, Finance Minister Biman Prasad noted that the government has implemented an extensive reform initiative over the past six fiscal years, from FY2019 to FY2024, in collaboration with development partners to enhance the governance and management of public finances in Fiji.
Minister Prasad explained that these reforms are linked to blended financing from development partners, which includes concessional loans and grants, with more than $2 billion received in the past six fiscal years. He mentioned that development partners involved in the Budget Support programs for FY 2024 include the World Bank, ADB, the governments of Australia and New Zealand, and the European Union.
This engagement has allowed the Fiji Government to secure close to FJ$542.0 million in total Budget Support funding, comprising both concessional loans and grants. Prasad emphasized that these policy reform actions have been accomplished through a unified government effort.
He pointed out that the ADB’s programme consists of two subprograms, with the second one anticipated to be accessed in 2026. The current scope of the programme focuses on enhancing public financial management to ensure fiscal resilience and inclusivity, fostering a conducive environment for private sector development, and boosting climate and disaster resilience.