Fiji’s economy is expected to grow at a slower pace in 2026, but will remain on an expansion path, according to the International Monetary Fund (IMF).
An IMF team led by Alasdair Scott visited Fiji from March 16–27, holding discussions with Government and key stakeholders in Nadi and Suva.
In a statement issued overnight in Washington, IMF said economic activity remained resilient in 2025, supported by strong tourism inflows, remittances and fiscal stimulus, but early signs in 2026 point to moderation.
The IMF forecasts growth at around 2.5 per cent in 2026, lower than recent years, while inflation is expected to rise to about 2.25 per cent.
Despite the slowdown, the outlook still points to continued expansion, broadly aligning with projections by the Reserve Bank of Fiji, which has forecast 3 per cent growth this year.
“Economic activity remained resilient in 2025… This momentum has begun to ease into early 2026,” IMF said.
IMF noted that softer tourism performance early this year and rising global oil prices were beginning to weigh on the outlook.
IMF warned that risks remain to the downside, including fiscal financing pressures, higher global fuel costs and tighter international financial conditions.
“Policies need to address both near term and medium-term challenges.”
IMF added that rebuilding fiscal buffers while managing the cost of living would be key to sustaining economic stability and supporting future growth.
