Devaluation and Recession out of the question, central bank says
Devaluation of the dollar and a recession have been ruled out by the central bank, amid the perma-crisis state the country may find itself in, Governor, Ariff Ali said.
And while more economic shocks were in store for Fiji’s future, the economy was forecast to grow next year, he said.
Speaking at the annual two-day Top Executive Conference 2022 at the weekend, Mr Ali also said Value Added Tax and Pay as You Your Earn for the year was the same as 2019. In the short to medium term, there was no industry that could measure up to tourism, which raised 90 per cent of its earnings through the 66 per cent arrivals it recorded, he said. “What we really need to do is work on other sectors that could contribute to export,” he said, while suggesting that the business process outsourcing was one sector that tried.
Strong leadership emerged from the COVID-19 pandemic, Mr Ali said.
SHAPING PERCEPTIONS AND ATTRACTING RIGHT TOURISTS
Tourism Fiji chief executive officer, Brent Hill, said the sector’s capacity averaged around $3089 per person over 9.7 nights stay.
He called for continued efforts to grow the amount of spending per person where arrivals were concerned.
Sport tourism was an exciting prospect for Fiji in light of local assets that included the Drua, he said.
The success of the super rugby development in Fiji brought with it a buzz of more interest from teams that wanted to participate next year, Mr Hill said.
“My phone just buzzed; we had a number of super rugby teams saying they wanted to bring their sponsors over next year.
“We started talking to the New Zealand rugby union guys; I had a couple of Wallabies saying they wanted to come over.
“A rising tide lifts the boats.”
Fiji was engaging more consultants to further such sport tourism,Mr Hill said.
“It’s a huge opportunity for Fiji,” he said.
KPMG managing partner, Lisa Apted, was one of three speakers on the topic, Macroeconomic Outlook – Living/Business With Global Shocks, which touched on adapting to the new dynamics.
She said most people were looking for a flexibility to work in, following the impact of COVID-19 challenges.