Fiji’s economy is based on mainly agriculture and tourism. The sugar and tourism industries provide employment to over 50% of the labour force with that figure looking to increase due to the influx of resorts and hotels being built in the West.  Both sugar and tourism are based in Western Viti Levu.  A variety of crops are also produced including coconut oil, cocoa, ginger and kava.

Domestically, there are indications that the Fiji economy will achieve its growth projection of 4.1 percent for 2004 after expanding by an estimated 5.0 percent in 2003. The main impetus to growth in 2003 was the wholesale & retail trade and restaurants & hotel sectors. In addition, notable contributions were from the transport, storage & communication; manufacturing; and construction sectors.

Endowed with forest, mineral, and fish resources, Fiji is one of the most developed of the Pacific island economies, though it remains a developing country with a large subsistence agriculture sector. Agriculture accounts for 18 % of Gross Domestic Product, although it employs some 70 % of the workforce as of 2001.

Major Facts:

Imports Commodities: machinery and transport equipment, petroleum products, food, chemicals

Exports – commodities: sugar, garments, gold, timber, fish, molasses, coconut oil.

Major Industries: Tourism, sugar, clothing, copra, gold, silver, lumber, small cottage industries.

Industrial production growth rate: 2.9%

Consumption spending is expected to remain buoyant. Over the first quarter of strong consumption growth continues to be supported by low commercial bank lending rates, favorable labour market conditions and the resulting growth in personal incomes.

Although Government’s capital expenditure is projected to decline, some of the shortfall is expected to be met by private sector investment. A number of large projects are already under way and additional projects announced in recent weeks are expected to commence soon. Moreover, in line with the increased activity in the building and construction sector, loans and advances to the sector continue to register a marked increase.

Fiji’s gross earnings from tourism were about $729 million, an amount double the revenue from its two largest goods exports (sugar and garments). Gross earnings from tourism continue to be Fiji’s major source of foreign currency. Fiji’s tourism revenue yields a services surplus.