Record low consumer and business activity, higher unemployment and consequently declining business and household income, halved Government revenue in 2020, says Attorney-General Aiyaz Sayed-Khaiyum.
While delivering the 2021-2022 National Budget on Friday, he said the adversity did not end with COVID-19.
“We were hit by three major cyclones in a span of just 10 months – Category 4 TC Harold, Category 4 TC Yasa, Category 2 TC Ana and a fourth, if you add Tropical Depression Bina,” the A-G said.
“All landed their own blows on our people, delivering brutal reminders that a strong economy is vital to protecting our people from the consequences of climate change.”
Mr Sayed-Khaiyum said Government had projected Fiji’s economy to contract by nearly 20 per cent in 2020, however, actual contraction was 15.7 per cent.
He said the contraction was primarily because of the halt in tourism activity after border closures.
“We, in fact, projected a contraction of nearly 20 per cent, but the freedom we granted businesses to adapt to the new normal, has spared us from that level of economic loss.”
