Fiji is poised for a significant boost in investment projects set to commence next year, but there is an urgent need to address existing skill shortages in the construction industry. Dr. Kishti Sen, a senior economist at ANZ for the Pacific, expressed these concerns during a media roundtable, where he predicted that private investment would drive Fiji’s GDP growth in 2025 and 2026.
Dr. Sen projected an additional $600 million in private spending for the upcoming year; however, he emphasized the necessity of resolving labor constraints in order to fully realize this potential. He noted that sectors such as construction, business services, and to a lesser extent, mining are currently operating slowly due to these limitations.
Despite these challenges, Dr. Sen remains optimistic, stating that as new investment flows into the economy, these sectors are expected to pick up speed. He suggested that Fiji may need to consider importing labor to alleviate the current strain on its workforce and maximize business investment opportunities. To facilitate this, he recommended that the Department of Immigration streamline its processes to expedite work permit applications.
Kamal Chetty, CEO of Investment Fiji, reported that there are currently 27 projects in the construction phase valued at a total of $1 billion, set to begin operations in the coming years. Additionally, there are another 20 projects anticipated to be worth $1.6 billion, contingent upon successful advancement and timely approvals.
Furthermore, the Fiji Bureau of Statistics indicated that the estimated total value of construction work completed last year was $557.9 million, representing a $31.8 million increase (or 6 percent) compared to 2022’s total of $526.1 million.