The Fijian Government is headed for a recession this year.
In a statement issued today, Reserve Bank of Fiji Governor Ariff Ali stated that the Fijian economy is currently in unchartered waters and headed for a recession this year.
The Central Bank Governor says COVID-19 or the coronavirus pandemic has led to an almost end of tourism activity and transmitted significant negative knock-on effects to the broader economy.
While precautionary and containment measures adopted by the authorities and the general population will drastically affect consumption spending and government revenue, Ali says they are appropriate and crucial to avoid longer-term social and economic damage.
The magnitude of the domestic economic contraction, Ali says will depend on the duration and the spread of the pandemic, which continues to unfold.