Fiji’s economy is projected to grow by 3.0 per cent in 2026, marking a fifth consecutive year of economic expansion, according to the January 2026 Economic Review released by the Reserve Bank of Fiji (RBF).
The central bank said growth will be supported largely by a 2.0 per cent increase in visitor arrivals, although it cautioned that downside risks to the outlook remain.
On the global front, the RBF noted that rising geopolitical and trade tensions continue to create uncertainty and could weigh on the economies of Fiji’s major trading partners.
These developments may spill over to Fiji through higher imported inflation, softer tourism demand and weaker remittance inflows.
Domestically, the review highlighted several potential headwinds, including the possibility of electricity tariff increases, a wait-and-see approach by investors ahead of the upcoming national election, and the ongoing risk posed by natural disasters, all of which could dampen economic activity.
Despite these risks, the RBF said economic activity was broadly positive in 2025, with tourism performing better than initially expected.
Visitor arrivals reached a record high of 986,367 by year-end, representing a 0.3 per cent increase, compared to an earlier forecast of no growth.
The stronger-than-expected outcome was driven by higher arrivals from the United States (up 9.6 per cent), Continental Europe (7.4 per cent), Pacific Island countries (3.7 per cent) and the United Kingdom (12.7 per cent).
This offset declines from traditional source markets, with arrivals from New Zealand falling by 2.9 per cent and Australia by 0.6 per cent.
The RBF said while momentum remains intact, careful monitoring of both global and domestic risks will be crucial as Fiji moves into 2026.
