Government contingent liabilities stood at $1.66 billion as of July 2025, according to the Medium Term Fiscal Strategy 2026–2027 to 2028–2029 tabled in Parliament last week.
The report shows a slight increase from $1.658 billion recorded in the previous financial year, with total contingent liabilities now equivalent to 12.2 percent of GDP—continuing a gradual downward trend in relation to the size of the economy.
The bulk of these liabilities comes from Government-guaranteed debt, which totalled $1.004 billion or 7.4 percent of GDP. This reflects a marginal decline of 1.1 percent compared to the previous year.
Fiji Airways remains the largest guaranteed entity at $366.7 million, followed by the Fiji Sugar Corporation at $323.6 million and the Fiji Development Bank at $200.4 million. The Housing Authority accounts for $113.6 million, while Pacific Fishing Company Limited holds a smaller share of $0.6 million.
In addition to guaranteed debt, other explicit contingent liabilities stood at $603.7 million, representing 4.4 percent of GDP. These include Government shareholdings in multilateral financial institutions such as the International Bank for Reconstruction and Development, Asian Development Bank and the Asian Infrastructure Investment Bank.
Implicit contingent liabilities, which represent potential obligations not formally guaranteed, declined slightly to $52.5 million, or 0.4 percent of GDP.
Overall, while nominal contingent liabilities have remained relatively stable over recent years, their ratio to GDP has fallen significantly—from 18.7 percent in 2021 to 12.2 percent in 2025—indicating improved fiscal positioning.
The Government says it will continue to closely monitor the performance and activities of guaranteed entities to minimise fiscal risks and ensure long-term financial stability.
