Tourism in Fiji appears to be on the rebound, as recent data indicates an increase in visitor arrivals last month. According to the Reserve Bank of Fiji’s May Economic Review, while total arrivals up to April were still down 2.7% compared to 2024, showing only 264,482 visitors, improvements were noted in May. Despite decreases from key markets—10.9% from New Zealand and 3.3% from Australia—there has been a marked increase in visitors from other regions. Specifically, arrivals from Pacific Island countries grew by 21.4%, while visitors from the US increased by 7.4%, and those from the UK and Europe rose by 2.7%.
The overall economic landscape suggests a mixed performance across sectors. Notably, mineral water production experienced an 11.4% increase following significant upgrades in production facilities. The labor market is gradually stabilizing, with a reported 3.0% rise in registered workers and wage increases averaging 10.0%. This upward trend in employment and wages has supported consumer spending, as reflected in a 10.0% rise in VAT collections due to robust domestic and customs sales.
The report also highlights ongoing strength in remittances, which totaled $448.5 million—an increase of 10.4%. This financial influx is primarily attributed to mobile money channels. Outbound remittances also saw an uptick of 13.3%, amounting to $174.2 million, predominantly driven by emigrants and non-residents.
The recent performance enhances the overall outlook for Fiji’s economy, with indications that continued growth in tourism and remittances may bolster recovery. This positive trajectory could lead to a more stable economic environment as we move forward.
Additional comments: The signs of revitalization in tourism, especially with the resurgence of visitor numbers from diverse markets, lend hope to a sustainable recovery for Fiji’s economy. The investments in key sectors, along with rising wages and strong remittance flows, suggest a resilient domestic market, paving the way for further economic growth in the coming months.
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