Fiji

Fiji’s annual inflation rate increased to 7.1% in April, driven by rising costs of food and tobacco. Adverse weather and tax increases have pushed up agricultural produce prices. Despite these challenges, the central bank kept the Overnight Policy Rate at 0.25%, citing a slowdown in economic activity and ongoing risks that could impact growth. Tourism remains vital, showing increases, but high cost-of-living pressures and emigration rates are dampening economic momentum.