The Fiji Revenue and Customs Service (FRCS) has reported a remarkable revenue performance for the first half of the 2024-2025 fiscal year, achieving a net revenue of $1.81 billion. This figure not only exceeded projections by $136 million, or 8.2%, but also represented a significant increase of $262 million, or 16.9%, compared to the same period last year.
A consistent monthly revenue growth has been pivotal in this success, with FRCS consistently surpassing its forecasted goals. This trend has contributed to an overall surplus for the half-year period. The chief executive of FRCS, Udit Singh, credited the robust results to strong contributions from key tax categories. Value-Added Tax (VAT) led the collections, amounting to $837 million (46.4%), followed by income tax at $518 million (28.6%), trade taxes at $310 million (17.1%), and other taxes and levies totaling $142 million (7.9%).
Singh emphasized that the broader economic growth in Fiji over the past six months has played a critical role in enhancing revenue streams. Notably, the expansion of the services sector, particularly in tourism and increased investments in telecommunications, has significantly boosted revenue collections. The rise in income tax payments reflects improved business turnover and profitability, while the increased VAT collections point to strong consumer demand.
These encouraging results highlight the commitment and hard work of FRCS staff, as well as the cooperation of taxpayers, all contributing to the positive trajectory of Fiji’s economy. Looking ahead, FRCS is focused on building on this success by improving service delivery, enhancing compliance, and fostering greater taxpayer engagement to ensure a robust revenue base for national development.
Singh expressed optimism for the future, predicting continued solid revenue performance throughout the remainder of the fiscal year, buoyed by strong consumer spending and ongoing business growth. This positive outlook is not only a testament to the resilience of the Fijian economy but also an encouraging sign for national development initiatives.
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