The Reserve Bank of Fiji has indicated that it plans to adjust its earlier forecast of a two percent economic slowdown for this year, based on recent data gathered over the past two months. In a media conference, RBF Governor Ariff Ali announced an optimistic projection of a three percent growth for the economy in 2024.
Ali expressed a positive outlook for the economy in 2025 as well. The Central Bank reported that foreign reserves have reached a record high of $3.77 billion, sufficient to cover Fiji’s import expenses for the next six months. Total assets held by financial institutions were noted to be at $30 billion, with Ali assuring that all financial institutions remain strong and reliable.
Additionally, Ali mentioned that global interest rates have dropped, with the United States reducing its rates by 0.5 percent. He expressed hope that 2024 would be a promising year for the economy.
As part of its responsibilities under the Reserve Bank of Fiji Act (1983), a total of $136.2 million is set to be transferred to the Government. This amount includes the net profit earned and $1.7 million from one-fifth of the Revaluation Reserve Account, following a net transfer of $1.0 million to the Reserve Bank’s General Reserves.
This transfer of $136.2 million underscores the Reserve Bank’s ongoing dedication to fulfilling its essential duties, despite not being a profit-driven entity, and its commitment to guiding the country through challenging times, particularly in the fiscal year 2023-2024.