Fiji’s stock market is facing challenges related to liquidity, which has created a disparity between the actual value of listed companies and their share prices. The South Pacific Stock Exchange (SPX) has recognized these concerns and is taking proactive measures to address them. In response to the growing worries from companies regarding their undervalued shares, SPX plans to enlist the services of experienced firms to conduct stock market research reports to assist investors.
SPX Chief Executive Officer Sheraj Obeyesekere emphasized the importance of public awareness and education about the stock market. He believes that this understanding is crucial for increasing market participation in the long run. “We’re focusing on raising awareness around the country to enhance market participation. That’s going to be the long-term solution,” Obeyesekere stated.
In the short term, the SPX intends to publish independent market valuation research reports for listed securities. These reports will be conducted by firms with expertise in stock market research, providing vital information that can help investors understand market valuations better. According to Obeyesekere, the availability of such information will empower investors by informing them about whether they should buy, hold, or sell based on research-backed insights.
The lack of adequate stockbroker staffing has compounded valuation challenges within Fiji, where stockbrokers typically undertake valuations. This gap in research capabilities has prompted SPX to intervene to enhance information availability concerning market valuations. Obeyesekere pointed out that disparities between market prices and independent valuations are not unique to Fiji, as similar situations can be observed in more developed markets too.
“In stock markets, price discovery is based on demand and supply by investors,” he noted, adding that the low levels of trading activity in Fiji contribute significantly to these valuation issues. To combat these challenges and foster growth in market participation, the SPX is committed to running extensive awareness campaigns to attract new investors.
Past efforts indicate a growing enthusiasm for stock market investments among Fijians. The recent “Invest for Tomorrow” campaign led to a remarkable 200 percent increase in new investors during the early months of 2025. Additionally, the SPX’s educational programs have successfully reached diverse demographics, positioning stock market participation as a viable financial avenue for many.
Looking ahead, SPX aims to continue enhancing public understanding of investment opportunities while acknowledging that building a thriving stock market is reliant on the active engagement of everyday Fijians. Through a combination of increased awareness and research accessibility, there is hope for a vibrant future for Fiji’s stock market, encouraging broader participation and supporting economic growth.
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