The government has urged the Fiji National Provident Fund (FNPF) to take the lead in investment, leveraging its substantial portfolio of approximately $10 billion and its growing involvement in tourism. During a two-day strategy workshop for the FNPF Board held in Nadi, Deputy Prime Minister and Minister of Finance Prof Biman Prasad emphasized the current capacity challenges in the industry and suggested that FNPF could contribute to increasing room supply.
“FNPF will play a vital role in our national efforts to enhance room capacity, including optimizing existing hotel assets and investing in new hotel projects in the future,” Prof Prasad stated. However, he also advised that due diligence is required, as opportunities exist in Suva and Vanua Levu through a tourism development initiative backed by the government and the World Bank.
He highlighted the need for hotels and the tourism sector at large to focus on improving visitor experiences in addition to expanding room capacity.
Referring to FNPF’s earlier acquisition of shares in Fiji Airways during the COVID pandemic, Prof Prasad mentioned that the Fund might also consider strategic investments in Fiji Airports, which he identified as requiring significant capital for advancement.
“I understand the Fund is already exploring this, and the government will need to provide support,” he said.
By investing in the airline, airport, and hotels, the Fund can enhance returns for its members while facilitating the next stage of development in the tourism sector, aligning with the national Vision 2050 objective of achieving greater wealth for the country.
In addition, Prof Prasad suggested that FNPF explore opportunities in retirement homes and tertiary health care.