Prime Minister Sitiveni Rabuka on Friday unveiled a $56 million (US$39.95 million) government package to blunt the impact of soaring international fuel prices, while stressing that Fiji faces a cost crisis rather than a shortage of supply. Cabinet approved the measure on April 21, Rabuka said, with the funds redeployed from the existing 2025–2026 budget rather than raised through new borrowing.
Rabuka gave a detailed snapshot of the national fuel position as of April 19: about 45 million litres of fuel were in storage on land and a further 22 million litres were expected to arrive before the end of the month, bringing April’s total available supply to roughly 67 million litres. He said daily consumption remains at about 2.5 million litres and that, under normal usage patterns, stocks would draw down to about 40 million litres — or roughly 29 percent of storage capacity — by the end of April. He described that drawdown as routine, necessary to allow incoming shipments to be received and discharged safely.
Looking ahead, Rabuka said supplier commitments for May total about 118 million litres, which would push national storage back above 59 percent of capacity and return Fiji to a more comfortable supply position. “We are currently operating in Phase 1 — a normal supply situation, but under pressure from high global fuel prices,” he said, underlining that shipments are expected and that the state does not face a physical shortage.
The prime minister attributed the domestic pain to global market forces: rising crude prices driven by conflict in the Middle East, disruptions to shipping including closures affecting the Strait of Hormuz, and higher costs in international markets. Because Fiji imports fuel in US dollars, those cost increases are passed through to local prices, Rabuka explained. The independent price regulator, the Fijian Competition and Consumer Commission (FCCC), adjusted retail fuel rates on April 1 and Rabuka warned that another adjustment is likely in May.
The $56 million response is intended to shield households, businesses and essential services from immediate shocks, Rabuka said, adding that the funds were identified by reprioritising delayed projects within the current budget. He framed the move as responsible fiscal management designed to protect livelihoods and maintain essential services while the government continues to monitor global conditions and supplier deliveries.
Rabuka’s briefing follows earlier regional and domestic warnings that tensions affecting the Strait of Hormuz could drive prices higher and strain supply chains. His announcement is the latest effort by the government to reassure the public that, despite rising prices, Fiji’s logistics and fuel supply pipeline remain intact and that planned deliveries in May will restore higher stock levels. The government and the FCCC said they will continue to monitor international developments and domestic market prices in the weeks ahead.