The Fiji Intelligence Unit has released a report indicating a high risk of money laundering in the country, highlighting the findings of the 2025 National Risk Assessment. The assessment identifies five key criminal activities that significantly contribute to this increased risk, particularly narcotics-related offenses, which are becoming an emerging challenge for Fiji.
Fiji’s geographical position is a double-edged sword; while it is a vital transshipment route for illegal drugs—including methamphetamines and cocaine from the United States and South America to markets in Australia and New Zealand—it also exacerbates local instability. The rise in narcotics trafficking has resulted in an increase in domestic drug use and the formation of local organized crime groups.
Furthermore, the report sheds light on other rising threats, like organized crime and racketeering. These encompass a range of criminal activities, including narcotics trafficking, cybercrime, fraud, and human trafficking, with the presence of transnational criminal syndicates, such as outlaw motorcycle gangs, becoming more prominent, partly due to deportees returning from abroad.
Taxation and customs-related crimes, such as smuggling and tax evasion, are also significant contributors to the money laundering risks in Fiji. These activities include false declarations of income and VAT fraud. The report also points to environmental crimes like illegal logging and wildlife trafficking as sources of criminal proceeds, which present a stable but high laundering risk.
Bribery and corruption are characterized as high but stable threats within the nation. Although the report does not indicate occurrences of grand corruption, it does highlight ongoing issues of bribery, forgery, embezzlement, and fraud.
Fiji is depicted as navigating a complex cross-border money laundering landscape, serving both as a transit point and a source of illicit funds. An analysis of money laundering investigations conducted between 2020 and 2024 reveals a significant international connection, with many cases involving Fiji and foreign jurisdictions.
The assessment evaluated 25 sectors with exposure to money laundering and terrorist financing, pinpointing five sectors as having high net risks: commercial banks, foreign exchange dealers and money changers, payment service providers, legal practitioners, and real estate agents. These sectors, with their high transaction volumes and varied customer demographics, have been found to possess vulnerabilities that existing controls are currently ill-equipped to address.
Amid these challenges, the report also suggests a positive trend as authorities in Fiji are increasingly aware of the money laundering risks. There are expectations that regulatory enhancements and strengthened enforcement measures will be implemented to effectively combat these threats, creating a safer and more transparent financial landscape for the nation. This proactive approach signals a commitment to fostering a more secure environment as Fiji works to counteract the risks posed by money laundering and related criminal activities.