Municipal and General Elections expected later this year are likely to influence Fiji’s policy direction and add uncertainty to the economic outlook, according to Westpac’s February 2026 Westpac Wave: Fiji Economic Update and Outlook.
The report says while Fiji enters 2026 in a relatively stable position, unconfirmed election dates and the possibility of significant policy changes could affect investor confidence and economic decision-making.
Westpac projects economic growth of 3.3 per cent in 2026 but cautions that election-related uncertainty, combined with rising global geopolitical tensions and economic fragmentation, presents challenges for policymakers.
The bank says expansionary fiscal policy ahead of the elections is likely to support growth in the short term, alongside continued momentum in tourism, steady consumption and supportive remittance inflows.
However, it warns that sustaining private sector investment will require policy stability beyond the election period, as well as improvements in the ease of doing business and reduced bureaucracy.
Westpac says a stronger focus on economic diversification will be critical as Fiji navigates both domestic political uncertainty and an increasingly volatile global environment.
