Sen Warns: Let’s not get ahead of ourselves
Aleading and outspoken economist has welcomed news that Investment Fiji has put together 25 investor-ready projects across a range of sectors.
ANZ lead economist Kishti Sen said Fiji needed to broaden its narrowly based economy to boost growth.
“These projects will help in that regard,” he said from Australia.
However, he questioned the full extent of investor-ready stance that Investment Fiji referred to.
“Have these projects secured all the necessary regulatory approvals and finance to be able to progress to a start date within the next three months,” he said.
“If not, we should not get ahead of ourselves,” he said.
Fiji needed new projects to shift gears, Mr Sen said.
“I would encourage Investment Fiji to focus on bringing forward projects to facilitate alternative drivers of gross domestic product and employment growth,” he said.
“The tourism economy is close to capacity and there is little wriggle room there.
“New sources of growth are desired now and with some urgency.”
The good news is that Fiji had options, Mr Sen said.
“There is work to be done to address the hotel room shortage, to keep Fiji competitive,” he said.
“Fiji can explore ways to integrate its industry with the global supply chain by doing more downstream processing of its commodities.”
Mr Sen called for solutions to energy and water security and transitioning to new energy.
Some upcoming projects would address shortfalls, but the projects would require significant investment in supporting infrastructure, such as roads, electricity, water and wastewater services and telecommunications, he said.
“Fiji should prepare for that; for the training task needed to find labour and resources to service the upturn in construction when it arrives,” Mr Sen said. The sentiments of Investment Fiji created an optimistic mood for investment outlook, to boost business and consumer confidence, Mr Sen said.
“I just hope these projects can go to commencement within a year, so Fiji can shift up a couple of gears in terms of its economic performance,” he said.