Fiji’s inward remittances reached $48.5 million for the year ending in April this year, as reported by the Reserve Bank of Fiji (RBF) in its May Economic Review. The bank noted that most of the remittances were processed through mobile money channels, indicating a trend toward digital transactions.
Outward remittances also saw a noteworthy increase, totaling $174.2 million, marking a 13.3% rise mainly driven by emigrants fulfilling their financial commitments back home. The RBF highlighted that these remittances play a crucial role in funding Fiji’s growing trade deficit, which widened by 4.5% year-on-year to $693 million as of February 2025. The increase in imports, which grew by 11.2% to $1.14 billion, outpaced the growth in exports, which were up by 23.5% to $442.9 million.
The rise in imports was primarily attributed to higher spending on road vehicles and mineral fuels, despite a downturn in global oil prices. Conversely, exports saw encouraging growth from sectors such as mineral fuel, mineral water, and kava.
Additionally, Fiji’s tourism sector has shown resilience, with earnings reaching a record $2.54 billion last year, although this reflects a deceleration in growth compared to the previous year. Despite this, the average daily spending by tourists increased, underscoring a positive trend in tourism-related economic activity.
In terms of remittance patterns, there was a net remittance flow of $203.1 million, significantly higher than the previous year’s outflow. This increased inflow helps ease the financial burdens many households face, demonstrating the importance of remittances and tourism earnings in sustaining Fiji’s economic landscape amidst ongoing global changes.
Overall, the increase in remittances, both in terms of incoming and outgoing funds, showcases a robust financial interaction that supports household incomes in Fiji while also highlighting the essential role of foreign workers and expatriates. Their contributions not only sustain family welfare but also bolster broader economic stability in the country, creating a hopeful outlook for continued growth in the future.
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