The government has unveiled new strategies designed to ease the burden on households amid persistent economic challenges while steering the nation towards sustainable growth. Deputy Prime Minister and Minister for Finance, Professor Biman Prasad, recently informed parliament of the anticipated 3.2 percent economic growth in 2025. This recovery is attributed to strong domestic spending, buoyed by low interest rates, elevated consumer confidence, and a rise in remittances.
To support households, the administration has adopted policies, including an expansionary budget and targeted fiscal interventions, aimed at delivering direct assistance to families. As the Macroeconomic Committee continues to assess projections, there’s optimism that, given current investment and consumption tendencies, growth forecasts may see upward revisions.
Professor Prasad also pointed to favorable inflation trends, with the Consumer Price Index averaging a negative 1 percent from January to August 2025. This represents a striking shift from a rate of minus 3.5 percent in August compared to the previous year’s 3.8 percent, highlighting significant price decreases. Such developments provide much-needed relief for households managing everyday expenses, aligning with government reforms that have enhanced revenue collection and supported social welfare programs.
Echoing previous announcements, this positive economic outlook is reinforced by measures such as raising minimum wages, increasing social welfare allowances, and substantial educational aid. These initiatives build on major reforms like VAT exemptions on essential goods, showing a persistent commitment to financially assisting citizens.
Acknowledging the challenges posed by external economic conditions, the government remains committed to prudent fiscal management and inclusivity. By emphasizing direct support and inclusive growth policies, there is a promising outlook on improving the standard of living for Fijians, supporting the nation’s journey towards economic resilience and equitable development. Overall, these efforts and positive economic indicators signal a hopeful trajectory for Fiji, aiming for growth that benefits all its citizens.