The Reserve Bank of Fiji has announced plans to revise the previously forecasted two percent economic slowdown for this year, based on recent data collected over the past two months. During a media conference, RBF Governor Ariff Ali indicated a positive outlook, predicting a slight economic growth of three percent for 2024.
Ali further expressed optimism for 2025, forecasting a prosperous year for the economy. The Central Bank noted that Foreign Reserves are currently at a record high of $3.77 billion, sufficient to cover Fiji’s import expenses for the next six months. Additionally, total assets held by financial institutions amount to $30 billion, with Ali assuring that all financial institutions remain strong and robust.
In terms of global financial trends, Ali pointed out that interest rates have declined, with the United States implementing a 0.5 percent rate cut. He emphasized hope for a successful year in 2024.
Moreover, in compliance with the Reserve Bank of Fiji Act (1983), a transfer of $136.2 million will be made to the government. This amount includes the net profit earned and $1.7 million from one-fifth of the Revaluation Reserve Account, following a $1 million transfer to the Reserve Bank’s General Reserves. This transfer underscores the Reserve Bank’s commitment to fulfilling its core mandates, especially during challenging times throughout the fiscal year 2023-2024 and beyond.