Cash continues to play a significant role in everyday transactions in Fiji, even with the rising popularity of digital payment solutions such as M-PAiSA and QR codes. A recent survey from the Reserve Bank of Fiji (RBF) reveals that a striking 62 percent of the Fijian population still prefers cash for their daily expenses. This preference was highlighted by RBF Governor Ariff Ali during the Pacific Fast Payments Systems Workshop, which convened central bankers and financial representatives from across the region.
During the workshop, Fiji introduced its new set of Polymer notes slated for release in 2025. Governor Ali seized the opportunity to discuss the persistent preference for cash, despite the rapid development of online banking and mobile wallet technologies. He emphasized that the RBF’s investment in new currency notes is vital for enhancing security features to combat counterfeiting, thereby safeguarding the integrity of the nation’s currency.
Governor Ali also pointed out that cash transactions contribute to nearly eight percent of Fiji’s GDP, highlighting the essential role cash plays in the nation’s economy. The new polymer notes not only improve security measures but also offer greater durability, making them more suitable for daily transactions and reducing long-term costs for the Bank.
As global trends shift towards digital payment methods, the establishment of efficient payment systems remains crucial. “Payments are the bloodstream of any economy,” Governor Ali stated, drawing an analogy with the vital infrastructure of an economy. He underscored that smooth payment processes are crucial for fostering business growth and enhancing confidence, while interruptions could lead to detrimental outcomes.
The balance between cash and emerging digital payment systems reflects Fiji’s adaptability in addressing the needs of its citizens while also embracing technological progress. This dual approach suggests that both cash and digital payments can coexist harmoniously, promoting economic resilience and continuous innovation in the Fijian financial landscape.