According to the Reserve Bank of Fiji, the economy is expected to contract more sharply than the negative 4 point 3 percent as earlier stated.
This is reflective of the fall in Tourism activity’s knock on effects on the rest of the economy.
Economists say smaller economies such as Fiji’s and the rest of the Pacific region will not be able to bounce right back once the COVID19 crisis is over.
The latest data released by the Reserve Bank of Fiji shows the downward trend of the Fijian economy.
Economic activities will be reduced compared to last year, the worst Economic contraction in Fiji’s recent past.
With the world facing the worst economic contraction in modern history, bigger and smaller economies alike will not be able to bounce back as soon as the COVID19 crisis is over.
Although GDP is the primary measure used to assess the health of any given economy and define the phase of a business cycle, the ancillary effects are felt the most by the public.
With the prolonged impact of the COVID19 pandemic, it is difficult to assess just how long a downtrend will continue before it reverses.