The Fiji Bureau of Statistics (FBoS) has revealed that the average annual inflation rate for the year ending December 2025 stands at -1.4 percent, showcasing a notable decrease in price pressures compared to the previous year. This finding comes from a detailed investigation of the average Consumer Price Index (CPI), comparing data from January to December 2025 with that from the same period in 2024.
The CPI serves as an essential gauge for tracking price changes of goods and services consumed by households throughout Fiji. Monthly evaluations are conducted in key urban centers such as Suva, Lami, Nasinu, Nausori, Lautoka, Nadi, Ba, and Labasa. The index aims to capture price variations not only in urban areas but also in rural settings, with CPI weights informed by the 2019/2020 Household Income and Expenditure Survey.
In December 2025, the overall CPI increased by 1.2 percent from the previous month, rising from 110.5 to 111.8. Significant price hikes were recorded across several categories, particularly in alcoholic beverages, tobacco, and narcotics, which surged by 3.1 percent, largely due to rising yaqona prices. Additionally, food and non-alcoholic beverages climbed by 2.4 percent, spurred by higher costs of meat, oils, fats, fruits, vegetables, and non-alcoholic drinks.
Other sectors also noted price rises, such as restaurants and hotels, which increased by 1.0 percent, and clothing and footwear, which saw a modest uptick of 0.6 percent. Communication prices rose by 0.5 percent, while categories like education, housing, utilities, and recreation showed no significant changes.
On the downside, reductions in prices were observed in transportation (-0.3 percent), furnishings and household equipment (-0.3 percent), miscellaneous goods and services (-0.5 percent), and health (-0.7 percent), primarily attributed to decreased fuel and pharmaceutical prices.
Overall, this trend of easing inflation points toward a stabilizing economic environment, fostering optimism among consumers as they navigate fluctuating prices across various sectors. This scenario suggests a positive shift, potentially leading to improved purchasing power for households in Fiji.