The private sector plays a crucial role in facilitating green investment projects in Fiji, with experts emphasizing the importance of de-risking these opportunities to encourage more involvement. Kamal Chetty, the chief executive officer of Investment Fiji, highlighted that policy stability, sector-specific plans, and financial mechanisms are essential for de-risking private sector investments during a panel discussion at the 3rd Conference on Climate Finance, Transparency and National Resilience held in Suva.
Chetty’s remarks came in response to a query regarding the considerations for de-risking green investments to boost private sector engagement, posed during the event by Muhammed Akhtar of KPMG Fiji. He pointed out that the Reserve Bank of Fiji and other financial institutions are already exploring mechanisms aimed at reducing risks associated with these investments.
“Policy stability is critical for investors,” Chetty noted, underscoring the need for consistent investment policies. He also stressed the importance of having a strategic sector-based plan to guide investments, suggesting that such plans will provide clarity and confidence for investors looking over the long term.
Fiji’s commitment to fostering such an environment has already resulted in a notable influx of investments, according to Chetty. He remarked on the necessity of maintaining a consistent policy framework to continue attracting investments in green initiatives and climate-relevant projects. Chetty expressed optimism that despite the complexities involved, finding de-risking opportunities could pave the way for future investments.
This discussion aligns with previous emphasis from Fiji’s leadership on involving private capital to combat climate change. Environment and Climate Change Minister Mosese Bulitavu has urged the business sector to play a more proactive role, suggesting a mix of private capital, innovation, and policy implementation as key to effective climate action.
The ongoing exploration into financial support mechanisms is indicative of a broader regional effort in the Pacific to mobilize climate finance that addresses both infrastructural needs and resilience against climate impacts. By supporting practical, sustainable investments, Fiji looks to position itself as a leader in environmental responsibility.
The proposed hybrid financing strategies and increased collaborations between public and private sectors are hopeful steps toward strengthening the resilience and sustainability of Fiji’s infrastructure, ensuring a balanced approach to economic growth and environmental stewardship in the face of ongoing climate challenges.