Recent trends indicate a slow-down in remittance growth, a crucial economic factor for many families, as international migration pathways tighten. According to Kishti Sen, a senior economist with ANZ Group focusing on the Pacific, the reliance on remittances is likely to diminish as destination countries make it increasingly challenging for migrants to secure permanent residency.
Sen highlights potential complications for consumer demand in Fiji in 2026, underscoring that if remittances plateau or decline slightly, the economy could suffer. “We are banking on Fiji having a stronger business investment year, which will be key for job creation,” he remarked, emphasizing that an increase in employment could bolster consumer demand.
Historically, remittances have served as a substantial boost to Fiji’s economy, especially following the pandemic when they surged from under $500 million to over $1.2 billion. However, Sen noted that with the winds of change in migration trends, this support may be diminishing. He pointed out that significant long-term departures to Australia have dropped by 38% as of June 2025, marking a notable decline of 51% from the peak in 2023.
Despite these challenges, the Reserve Bank of Fiji reported that personal remittances reached over $1 billion in the year leading to September 2025, with a 4.3% increase year-on-year. This uptick reflects steady remittance inflow, demonstrating resilience even amid tightening migration policies.
Looking forward, while the risks associated with falling remittances loom, Sen remains optimistic about the potential for private sector job growth to cushion the economy. The interplay between ongoing remittance inflows and local employment opportunities will be critical in shaping consumer confidence and overall economic health in the near future. The resilience observed in personal remittances amidst global economic shifts offers a glimmer of hope for sustaining consumer demand in Fiji.