The Fijian government is vigilant as it monitors international developments that could impact global oil prices amid ongoing conflicts and geopolitical tensions. Minister of Finance Esrom Immanuel expressed relief that fuel prices in Fiji have remained relatively stable, even in light of rising U.S. oil prices following unrest in Venezuela.
Mr. Immanuel emphasized the government’s commitment to closely assess global conditions and their potential impact on fuel prices and the Fijian economy. He asserted that if necessary, the government is prepared to respond effectively to maintain economic stability and support vulnerable households, although he noted that it is still too early to determine the extent of any needed interventions.
In parallel, National Federation Party leader and former Finance Minister Professor Biman Prasad conveyed confidence in Fiji’s economic resilience. He stated that the nation’s economy is robust and capable of handling any financial shocks stemming from escalating global conflicts. Professor Prasad attributed this strength to the government’s strategic fiscal policies, which have established a crucial safety net against potential supply chain disruptions.
He encouraged vigilance but reassured the public that with appropriate fiscal space and continuity in growth, Fiji can withstand adverse economic impacts. With the 2025-26 Budget designed to anticipate the fallout from significant global events, it includes anticipatory measures that aim to mitigate short- to medium-term effects of any disruptions.
Notably, data from the Fiji Bureau of Statistics and the Reserve Bank of Fiji indicate a downward trend in inflation over the past two years, bolstered by tax reforms and increased compliance that have improved government revenue and reduced the debt-to-GDP ratio to below 80 percent.
Looking ahead, Professor Prasad highlighted the government’s national development plan focusing on transitioning Fiji into a high-income country by 2050. Achieving this ambitious goal will require a sustained annual growth rate of four to five percent and will necessitate proactive measures beyond routine approaches. Infrastructure development initiatives are already underway in key sectors such as renewable energy, health, and education.
He reiterated that while global conflicts pose challenges, there is no cause for panic, and it remains crucial for the government to maintain momentum in supporting the private sector for continued economic stability and growth.