Economy

RBF revises 4-year economic growth projection

The Reserve Bank of Fiji has revised Fiji’s economic growth projection for 2016-19, with this year’s growth estimated to be lower at 2.0% compared to the 2.4% projected earlier in May. According to RBF Governor and Chairman of Macroeconomic Committee, Mr Barry Whiteside, the lower growth reflected the negative impact of natural disasters earlier in the […]

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November 17, 2016 9:20 am

The Reserve Bank of Fiji has revised Fiji’s economic growth projection for 2016-19, with this year’s growth estimated to be lower at 2.0% compared to the 2.4% projected earlier in May.

According to RBF Governor and Chairman of Macroeconomic Committee, Mr Barry Whiteside, the lower growth reflected the negative impact of natural disasters earlier in the year.

WHITESIDE: “For the agriculture sector, the slowdown is underpinned by a larger decline anticipated for cane output while lower activity in fishing & aquaculture reflects the significant damage to the inshore marine ecosystem and infrastructure sustained during TC Winston.”

Overall, growth in 2016 would be driven mainly by the services and industrial (excluding sugar manufacturing) sectors whose positive contributions outweigh the notable decline in agriculture.

The Governor added that “in 2017, the Fijian economy is expected to achieve a broad-based growth of 3.6 percent, unchanged from the earlier projection. In both 2018 and 2019, the forecast is for the growth of 3.0 percent, with the major contributors being the manufacturing; transport & storage; financial & insurance activities; accommodation & food services; and the wholesale & retail trade sectors.”

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