Economists urge Fiji to diversify beyond tourism for economic resilience

Fiji must urgently accelerate efforts to diversify its economy beyond its heavy reliance on tourism, according to economists. This strategic shift is crucial for building resilience against global economic shocks, ensuring sustainable growth, and bolstering foreign exchange earnings.

Ashwin Deo, Head of the Department of Economic Development and Sustainable Studies at Fiji National University, highlighted that tourism remains the nation's primary source of foreign exchange. However, he cautioned against the inherent risks associated with such concentrated economic activity. A heavy dependence on a single sector makes the economy vulnerable to external factors like global downturns, travel restrictions, or natural disasters.

Diversification would involve developing and promoting other sectors, such as agriculture, manufacturing, or services, to create multiple revenue streams. This approach would not only reduce Fiji's vulnerability but also create new employment opportunities and foster broader economic development. The call for diversification underscores the need for proactive economic planning to secure a more stable and prosperous future for the island nation.