The Fiji Commerce & Employers Federation says Government’s decision to absorb the newly approved 22.5 per cent bus fare increase for commuters will create positive ripple effects across the economy.
FCEF chief executive Edward Bernard said the move would allow workers to continue travelling to and from work without additional financial strain while helping businesses maintain normal operations.
“This means workers will be able to commute to and from work without additional financial burden, while allowing business operations to continue with minimal disruption,” Mr Bernard said.
He said the measure would not only assist the estimated 350,000 commuters, including families with school children, but also thousands of businesses that rely on public transport for both workers and customers.
Mr Bernard acknowledged that the subsidy would cost Government around $2 million a month, but said the economic benefits would outweigh the expense.
He said keeping transport costs stable would help factories and offices remain operational while sustaining demand for goods and services, which would in turn support Government revenue collection.
FCEF also noted that the latest measure comes on top of the existing 10 per cent bus fare subsidy already being provided by Government.
The Fijian Competition and Consumer Commission recently approved the 22.5 per cent fare adjustment to assist bus operators facing rising fuel and operational costs.
The new fare increase is expected to take effect from 26 May 2026.
