Deputy Prime Minister and Finance Minister Professor Biman Prasad has announced promising financial figures for Fiji’s economy in the first quarter of the 2024-2025 fiscal year, highlighting a significant milestone in revenue generation and expenditure management. The government’s total revenue for this period reached over $1 billion, while expenditures amounted to $956.3 million, leading to a net surplus of $131.2 million, which is approximately 0.9 percent of the nation’s GDP.
This represents a remarkable turnaround from the previous financial year, where the country experienced a net deficit of $21.5 million, equivalent to negative 0.2 percent of GDP. Prof Prasad emphasized that the government remains committed to prudent fiscal management while simultaneously addressing critical developmental needs.
Despite the ongoing challenges stemming from the pandemic, the government has effectively managed to keep the fiscal deficit under control, setting a course to gradually reduce the deficit in the coming years. He acknowledged the ongoing concerns about global inflation, particularly in areas such as fuel, food, and transportation, which have placed additional pressure on Fijian households. The government is actively working on strategies to alleviate these cost-of-living pressures.
In a positive development, the annual headline inflation rate has decreased for the fourth consecutive month, now standing at 0.8% as of November. This is a significant improvement from the 5.8% recorded during the same period last year and lower than the 3.6% registered in October 2024.
Overall, these developments indicate a strengthening economy in Fiji, with consistent efforts by the government to respond to inflation and enhance the welfare of its citizens. As the government continues to navigate these complex economic challenges, there is hope for a more resilient and prosperous future for all Fijians.
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