The Reserve Bank of Fiji (RBF) announced that it will likely revise its previous prediction of a two percent economic slowdown for Fiji this year, based on data gathered over the past two months. In a recent media conference, RBF Governor Ariff Ali indicated that the forecast for 2024 is a modest growth of three percent for the economy. He also expressed optimism for strong economic performance in 2025.
The Central Bank reported that foreign reserves have reached a record high of $3.77 billion, which is sufficient to cover Fiji’s import expenses for the next six months. Additionally, Ali noted that the total assets of financial institutions are currently at $30 billion, assuring that these institutions are solid and resilient.
Ali mentioned that global interest rates have decreased, with the United States recently lowering its rates by 0.5 percent. He expressed hope that 2024 will be a favorable year for the economy.
Furthermore, in accordance 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 one-fifth of 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 its core responsibilities, particularly during difficult times, despite not being a profit-driven entity.