Opposition MP Premila Kumar has raised significant concerns regarding the impact of business closures and downsizing in Fiji, warning that even a small number of such events can lead to extensive repercussions on employment, investment, and economic confidence. During an interview with FijiLive, Kumar highlighted that Fiji’s economy, valued at approximately $5.5 billion, operates within a much smaller market compared to Australia and New Zealand, which have economies worth $1.8 trillion and $420 billion respectively.
Kumar emphasized the importance of engaging with businesses to understand their challenges and implementing measures to prevent downsizing and office closures. She noted that while investment approvals and pipeline projects serve as encouraging indicators for growth, their actual implementation remains crucial for economic stability.
Highlighting the challenges faced by business owners, Kumar pointed out the rising operational costs, difficulties in conducting business, and a decline in consumer demand as primary obstacles. She referenced recent reports indicating that the Fijian Holdings Limited Group experienced a profit decline due to these pressures.
Kumar stressed the necessity for a balanced and proactive approach to support businesses, ensuring they have the conditions required to thrive rather than being forced into downsizing. This call for a collaborative and supportive action echoes her previous criticisms of government policies, which she argues often favor a privileged few rather than the average Fijian citizen.
In light of these challenges, there remains hope that through proposed practical measures—such as lowering VAT on essentials and providing stronger support for small businesses—Fiji could foster an environment conducive to growth, benefiting all segments of its population. Such initiatives could enhance economic resilience and promote a more inclusive recovery, paving the way for a brighter future for all Fijians.
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