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Fiji’s Economic Outlook: Growth Forecasts and Record Reserves

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The Reserve Bank of Fiji (RBF) has announced it will revise its earlier prediction of a two percent economic slowdown for this year, based on recent data gathered over the past two months. During a media conference, RBF Governor Ariff Ali indicated that the economy is now expected to experience a growth of approximately three percent in 2024.

Ali also expressed optimism for the economic outlook in 2025. He emphasized that the nation’s Foreign Reserves have reached a record high of $3.77 billion, sufficient to cover Fiji’s import expenditures for the next six months. According to him, total assets within financial institutions amount to $30 billion, assuring that all financial entities are robust and stable.

Furthermore, Ali noted a decline in global interest rates, with the United States reducing rates by 0.5 percent. He remains hopeful that 2024 will be a favorable year for the economy.

In compliance with the Reserve Bank of Fiji Act (1983), a total of $136.2 million will be transferred to the Government. This amount includes net profits and $1.7 million from the Revaluation Reserve Account, following a net transfer of $1.0 million to the Reserve Bank’s General Reserves.

This transfer underscores the Reserve Bank’s commitment to effectively fulfilling its core mandates, especially during challenging times, despite not being a profit-driven entity.

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