Finance Minister Professor Biman Prasad has announced that the government’s economic fundamentals have significantly improved over the last two years, leading to a more robust economy since taking office. He underscored notable achievements, such as a remarkable economic growth rate of 7.5% in 2023, along with a forecasted growth of 3.8% for 2024, a notable increase from the previous estimate of 2.8%.
Professor Prasad pointed out that inflation has decreased to 0.8% in November, marking the lowest level in 16 months. Additionally, public debt has also shown a positive trend, declining to 75.4% of GDP in October, down from 90.7% during the 2021–2022 period. Factors like higher minimum wages and increased infrastructure investment have been identified as catalysts for this economic growth. He praised the tourism sector for its role in the recovery, noting a 6.5% increase in visitor numbers from January to October of this year.
In contrast, Opposition MP Premila Kumar challenged the government’s assertions about economic improvements, questioning whether these positive indicators genuinely translate into better living conditions for the average Fijian. She acknowledged the improved statistics but raised concerns over the rising cost of living, which has put pressure on many families, making it difficult for them to afford basic necessities.
Kumar criticized the outflow of skilled workers, the struggles faced by small businesses, and the overall burden of high prices on households. She argued that the benefits of economic growth appear to be unevenly shared within the population and urged the government to prioritize measures aimed at reducing the cost of essential goods and supporting small businesses, which she deemed vital for the backbone of the economy. Furthermore, she called for more robust strategies to retain skilled labor and alleviate household financial pressures.
This exchange underlines a crucial dialogue about economic progress, as it sheds light on both achievements and ongoing challenges faced by citizens. The government’s initiatives may indicate a positive trajectory for the economy, yet addressing the immediate needs of Fijians remains imperative to ensure that growth is felt across all levels of society.
In summary, while the government touts economic improvements, there is an urgent need to bridge the gap between growth statistics and the real-life experiences of citizens. Addressing the cost of living and supporting local businesses could be essential steps toward a more equitable economic recovery.
Leave a comment