Fiji Pivots Economy Toward ICT and Agriculture to Reduce Tourism Reliance

Fiji's government is undertaking a significant economic restructuring aimed at mitigating its vulnerability, which stems from a heavy dependence on tourism and a lack of diversification. Former Trade Minister Manoa Kamikamica highlighted this challenge during the State of the Economy Dialogue 2026, explaining that the current growth model leaves the nation exposed to external shocks and limits productivity outside urban centers.

The government is now prioritizing diversification and regulatory reform, targeting new growth in sectors such as Information and Communication Technology (ICT), business process outsourcing (BPO), commercial agriculture, aquaculture, and manufacturing. These initiatives are designed to broaden the economy's productive base beyond services and consumption. The ICT sector, in particular, is already showing progress, supporting approximately 8,000 jobs and generating over $300 million in foreign exchange earnings.

Commercial agriculture is being revitalized through private sector investment, moving away from fragmented small-scale efforts. Projects are underway with international firms exploring large-scale citrus and export crop production, aiming to connect investors with rural communities. On the fiscal front, Kamikamica noted that past spending practices have strained public finances, necessitating tighter controls on debt, improved revenue collection, and greater efficiency in government expenditure.

Further reforms are in motion to enhance governance and boost investor confidence, including the removal of the MIRA framework to strengthen transparency. The Mahogany Act is cited as a key step in unlocking value in the forestry sector, while reforms in the sugar industry are also under review as farmers diversify. Kamikamica emphasized the need for Fiji to build financial buffers against future economic shocks and expressed support for a sovereign wealth fund to provide stability during downturns. The iTaukei economy is also identified as an underutilized area with significant growth potential.