Finance Minister Professor Biman Prasad has stated that the economic fundamentals of the Government have significantly improved over the last two years, resulting in a stronger economy than when the current administration took charge. He outlined notable achievements, including an impressive economic growth rate of 7.5 percent in 2023 and a promising projection of 3.8 percent for 2024, which is an increase from the earlier estimate of 2.8 percent.
Professor Prasad noted that inflation has fallen to 0.8 percent as of November, marking its lowest level in 16 months. Additionally, public debt has seen a decrease, dropping to 75.4 percent of GDP in October, compared to 90.7 percent in the period of 2021–2022. He attributed these improvements to initiatives like higher minimum wages and greater investments in infrastructure, which are contributing to economic advancement. Furthermore, he emphasized the tourism sector’s role in driving recovery, with a reported increase in visitor numbers by 6.5 percent from January to October of this year.
However, Opposition MP Premila Kumar raised concerns about whether these economic gains are translating into tangible benefits for everyday Fijians. While acknowledging the positive trends, she questioned the perceived gap between economic growth and its impact on improving the lives of citizens, particularly in the face of rising living costs which are burdening many families.
Kumar pointed out challenges such as the emigration of skilled workers, the struggles faced by small businesses, and the continual pressure of high prices on household budgets. She argued that the recovery’s benefits are not being distributed equitably and called on the Government to prioritize reducing the costs of essential goods and providing support for small enterprises, which she described as the backbone of the economy.
Additionally, she advocated for more effective strategies to retain skilled workers and alleviate household expenses, underlining the need for the Government to take action to ensure that economic advancements benefit all Fijians.
This discourse reflects the ongoing economic dialogue, showing both confidence in growing economic indicators and the critical need for inclusivity in economic recovery efforts.
Summary: Finance Minister Professor Biman Prasad reports significant economic improvements in the country with notable growth and reduced debt and inflation, while Opposition MP Premila Kumar questions whether these gains are truly benefiting everyday Fijians, citing rising living costs and challenges faced by small businesses. She urges the Government to focus on equitable distribution of economic benefits and support for workers.
The ongoing conversation around economic growth and its real-world effects highlights the importance of ensuring that progress is shared, offering hope that with the right policies, the economic recovery can lead to an improved quality of life for all citizens.
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