The ANZ Bank is forecasting Fiji’s economy to grow by 3.4 percent this year, surpassing the Reserve Bank of Fiji’s official estimate of 2.8 percent.
In its latest Pacific Insight titled “Fiji’s ‘safe’ mid-term budget won’t upset the apple cart,” ANZ economists Tom Kenny and Dr. Kishti Sen expressed confidence in Fiji’s growth prospects. They cited strong underlying drivers such as visitor arrivals, remittances, and agriculture output as key factors for their optimistic outlook. The government estimates a growth rate of 2.8 percent in 2024 and three percent in 2025 and 2026, but ANZ is slightly more bullish.
Co-author Dr. Kishti Sen elaborated on their perspective, emphasizing the potential for continued growth in tourism despite challenges such as room shortages and tighter financial conditions in source markets. Dr. Sen also pointed to other growth areas within Fiji’s economy, including wholesale and retail trade, construction, agriculture, and mining.
“Taken together, GDP growing by 3.4 percent this year is achievable in our view,” said Dr. Sen, adding a note of caution. He reminded that their previous outlook suggested Fiji should prepare for a softer middle decade, with stronger growth anticipated later in the decade, driven by enhanced tourism.