Fijian Holdings Ltd (FHL) has allocated approximately $14.6 million of its $50 million budget for an impact investment initiative focused on enhancing economic empowerment for iTaukei resource owners. This announcement was made during the recent Ministry of iTaukei Resource Owners’ Forum held in Lami last month.
FHL’s chief executive officer, Jaoji Koroi, communicated in iTaukei to forum attendees that this initiative, still in its early stages, forms part of the investment group’s three-year strategy aimed at promoting indigenous economic participation and empowerment.
Koroi previously mentioned that FHL had dedicated $50 million, representing 10% of its capital base, to support iTaukei businesses, provided they are properly structured for financing. He stated at the forum that the $14.6 million invested so far has gone towards equity in five joint venture projects with resource owners located in Taveuni, Savusavu, Korovou in Tailevu, Muaivuso, and Kalabu in Suva.
The partnership structure typically involves landowners forming a company, valuing their assets (commonly land), and approaching FHL with a 40/60 offer, in which FHL would possess 60%. For the time being, FHL will concentrate on the five current projects and evaluate their progress before considering any additional commitments.
Established 40 years ago by the Great Council of Chiefs, FHL has distributed $143 million in dividends to its shareholders, starting from an initial capital of $30.4 million. It is listed on the South Pacific Stock Exchange, and its share value has reportedly increased over nine-fold since its inception, according to Mr. Koroi. Currently, 72% of FHL shares are held collectively by the iTaukei Affairs Board, iTaukei Trust Fund, and the iTaukei Land Trust Board.