The Fiji housing sector faces numerous challenges and issues including the poor overall quality of the existing housing stock, the current imbalance between formal housing supply and demand particularly in urban areas, and the noticeable lack of affordable housing supply and the need for broader based access to housing finance and insurance.
This is what sets the scene on how government intends to solve Fiji’s housing need as stated in the recently launched National Housing Policy 2025-2030.
The policy states overall housing markets and systems need to respond more effectively to demand and provide a range of housing options in both urban, rural and maritime locations, with the provision of targeted assistance for those most in need.
The National Housing Policy is aimed at addressing existing challenges by setting out a national vision for housing which identifies strategic areas of focus to shape and guide the further development of the sector and progressively improve housing systems, conditions and outcomes for all Fijians wherever they may live in urban, rural or maritime areas.
Housing data in Fiji
The policy states 54 per cent of rural houses have customary land tenure, with most of these houses (39,000) located within the 1172 registered villages. Twenty nine per cent of rural houses are located on formal leasehold land with 12 per cent located on freehold land, The balance of 5 per cent holding “other” tenure arrangements.
Forty two per cent live on formally leased land in urban areas, 24 per cent of urban dwellers with freehold land tenure and a small portion of urban dwellers (7 per cent) with customary land tenure. The balance of 27 per cent are categorised as “other” forms of tenure which includes the spectrum of other informal and “vakavanua” land arrangements, states the policy.
On informal housing, the policy states about 24 per cent of the urban dwellings have been classified as informal, with over 250 informal settlements located in and around Fiji’s urban areas. A spectrum of conditions within these informal settlements exists, however, all settlements are characterised by the lack of formal land tenure.
Housing challenges
The policy states the housing sector faces numerous complex and interrelated challenges. The key challenges and issues were collected via research, review and stakeholder and public consultation.
There is a growing demand for housing as Fiji’s population and economy continue to grow, so too will the demand for new houses, states the policy. An annual demand of about 1600 new dwellings per year over the next 30 years has been estimated. Most of this growing demand for houses will occur in the established Nadi-Lautoka and Lami-Suva-Nausori urban corridors of Viti Levu.
There is a scarcity of land for housing, with limited supply of land developed for housing (with appropriate zoning and infrastructure) not meeting demand, particularly in Fiji’s growing urban areas, states the policy.
The scarcity of land for housing limits housing development options, with shortfalls in supply contributing to the challenges of affordability and informality.
There is a shortfall in formal housing options and assistance with comparative analysis of actual supply data (building completion statistics and Housing Authority lot completions versus population-based projections of actual demand for new housing) suggests that there is a large gap (or shortfall) in the formal supply of housing.
The policy adds poor quality, and costly materials have resulted in the use of poor quality and unsuitable materials (e.g. poorly treated timber), resulting in the construction of structurally unsound houses. The construction materials market is dominated by four major suppliers with oligopoly powers to control prices, states the policy.
The way forward to 2030
The National Housing Policy provides a national vision and system wide strategic road map for progressively improving housing systems, conditions and outcomes for all Fijians wherever they may live in urban, rural or maritime areas.
The policy states Government must directly and indirectly enable the supply of housing for most Fijians by setting the general institutional, financial, planning and regulatory frameworks that govern housing systems and markets.
Government also puts in place tax and other financial incentives and grants, which need to be periodically reviewed to ensure equity and the achievement of their intended outcomes.
Existing outdated housing system legislative and regulatory frameworks require review and updating with new frameworks is needed to guide and regulate activity in all areas of supply in the housing system, including the upgrading of informal settlements.
The policy adds housing assistance is provided to those that would otherwise struggle to access and afford adequate housing. For many lower-income households in urban, rural, and maritime areas, decent formal housing remains out of reach and unaffordable. Increased provision of affordable houses for all (especially low-income earners) is required to assist those who struggle to meet the full cost of accessing affordable, decent, and safe housing in the formal market.
The policy states housing challenges in the urban, rural, and village contexts such as a lack of steady income, overcrowding, and homelessness requires focused assistance programs.
The policy states housing structures need to be strengthened and improved to save lives, property and improve quality of life. Given Fiji’s exposure and vulnerability to natural hazards, the poor condition of large portions of the existing housing stock and the need for climate change adaption, a significant focus is required to prevent new disaster risks and reduce existing disaster risks.
Strengthening the resilience of the housing stock throughout Fiji to withstand natural disasters, particularly adverse weather events such as tropical cyclones and other threats such as termites and fire.
The policy states the Ministry of Housing will play a lead role in implementation, facilitate action and bring parties together to focus on the new policy direction of the National Housing Policy.
It adds the successful implementation of the NHP will require the support of the whole of government, along with collaboration and partnerships with communities, landowners, local government, the private sector, housing providers, builders and developers, community-based organisations and other housing not-for profits/NGOs/CSO and Fiji’s bilateral and multilateral development partners and financial institutions.
