Fiji has experienced a significant shift in its economic landscape, reporting a deficit of $112.3 million in its current and capital account for the September quarter of 2025. This marks a stark contrast to the $23.3 million surplus recorded during the same timeframe last year, as detailed by the Fiji Bureau of Statistics.
The Bureau attributed this deterioration primarily to increased imports of machinery and transport equipment, alongside a notable decrease in exports of food and live animals. Additionally, there was a decline in re-exports of mineral fuels and a reduction in personal transfers received from overseas, which further exacerbated the situation.
In particular, the current account noted a net outflow of $113.6 million during the quarter, highlighting escalating pressures on Fiji’s external trade position. The balance on goods and services saw a dramatic widening to a deficit of $175.8 million, representing nearly a 279 percent increase compared to September 2024. This decline can be largely linked to higher import costs and weak export performances.
While the primary income account remained in deficit at $151.8 million, there was a slight improvement due to higher investment income from abroad. Conversely, the surplus on the secondary income account fell to $214 million, down 8.3 percent from the previous year, attributed mainly to decreases in personal remittances.
In terms of financial activity, Fiji’s financial account recorded a deficit of $71.9 million for the September quarter, showing some improvement from the $92.5 million deficit recorded the previous year. This positive turn can be traced back to reduced loan repayments and trade credit outflows, coupled with increased equity and investment fund inflows from overseas. Notably, direct investment revealed a net outflow of $87.4 million, while portfolio investment showed a net inflow of $65.1 million, highlighting a growing interest in equity and investment fund shares.
Despite the overall economic challenges, the capital account managed a modest net inflow of $1.3 million during the period. The Fiji Bureau of Statistics emphasized that these Balance of Payments figures offer a comprehensive insight into the country’s global transactions and confirmed that further detailed statistics for the complete year 2025 will be released on 31st March 2026.
This evolving economic narrative embodies challenges but also signifies the resilience of Fijian businesses and investors, reflecting a dynamic economy navigating through complexities while seeking opportunities for growth.
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