The Nadi Chamber of Commerce and Industry has expressed support for the 2025-2026 National Budget, labeling it as “quite fair and inclusive.” Chamber president Lawrence Kumar noted that the budget is a product of extensive public dialogue and aims to address socio-economic challenges while ensuring macroeconomic stability.
Kumar highlighted key initiatives, including a significant reduction in Value Added Tax (VAT) from 15% to 12.5%, designed to alleviate the financial burden on average families. He emphasized the necessity of prudent fiscal management to avoid revenue losses, advocating for a balanced approach to tax reductions to sustain government operations.
A notable allocation of $800 million for the Ministry of Public Works, which includes $388 million for the Fiji Road Authority and $284 million for the Water Authority of Fiji, represents one of the largest infrastructure investments in the budget. Kumar pointed out that such investments are expected to promote economic growth and job creation.
The budget also prioritizes health, with funding increasing from $451.8 million to $611.6 million, which includes a dedicated $10 million for a free medical scheme. Additionally, a 10% reduction in bus fares is aimed at easing transportation costs for the public, along with an increase in social benefits by 5%.
For first-time homebuyers, the budget introduces grants of $30,000 for those earning between $0 to $50,000 annually, alongside $20,000 for land purchases, fostering home ownership among lower-income families. Furthermore, an 8.75% interest payment to Fiji National Provident Fund (FNPF) members is noted as a significant boost for confidence among citizens.
Despite projecting a deficit of $886 million against expected expenditures of $4.8 billion, Kumar recognizes the necessity for bold measures to support average income earners amidst a global crisis and rising freight costs. The budget reflects a commitment to collective community needs, combining short-term relief with long-term growth strategies that may enhance citizens’ quality of life.
This approach suggests a hopeful future, as the government navigates economic challenges while aiming to uplift households and improve well-being in uncertain times. The focus on critical services, infrastructure, and community input could lead to a prosperous environment for all Fijians.
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