The Ministry of Finance says the Fijian economy is on track for another spike after a strong recovery
This following an incredible eight per cent growth predicted for 2023.
Responding to FijiLive, after the Standards and Poor’s Global released Fiji’s credit rating assessment, the Deputy Prime Minister and Minister for Finance, Professor Biman Prasad said, this is reflected by the outstanding tourist numbers, remittances into the country, local consumption, the increase of wages and salaries, allowances, job growth in the country, in the last 10 months.
Prof Prasad said the economy is showing strong signs, tourist numbers are up by more than 100 per cent for the last ten months compared to the same period in 2019, pre COVID levels.
“These are excellent trajectory shown by indicators available to us. The budget and its provisions, where the Government has not only attempted to provide fiscal consolidation but also increased expenditure to cater for social welfare increases, and other capital expenditures.”
The Deputy Prime Minister said the sovereign credit rating of B+/Stable/B reflects the stability provided by the Coalition Government and Government’s strong and collective effort to rebuild the nation, drive economic recovery and put our debt situation on a path of sustainability.
He added that the report also highlighted the Coalition Government’s strong commitment to rebuild fiscal buffers in light of our elevated debt levels and acknowledges our credible and decisive fiscal consolidation efforts to rein in fiscal deficits and debt levels through well-crafted revenue increases and expenditure measures as announced in the budget.
“Government agrees that the process of fiscal repair must be gradual, as any premature adverse fiscal tightening may negatively impact the economic recovery that is currently underway.”
He added that the Government is now focused on a major economic reset to support a private sector led economic rejuvenation with inclusivity, fiscal discipline and freedom at the heart of our development philosophy.