Fiji’s financial conditions remained favourable for growth in 2024, with broad money expanding by 8.4% and private sector credit rising by 11.4%.

According to the Reserve Bank’s December 2024 Economic Review at a glance, lending to businesses and households grew by 10.9% and 13.3%, respectively, signalling strong private sector confidence.

Liquidity in the banking system stood at a robust $2.4 billion at the end of December, ensuring that lending rates remain historically low, although time deposit rates saw a slight rise due to Basel III liquidity requirements.

Investment activity, while still slow, showed promising signs with a 25.9% rise in new investment lending. Despite a 35.9% drop in the number of building permits issued, the total value of permits soared by 97.7%, reflecting higher construction costs and a shortage of skilled labor.

RBF says these developments suggest that while growth is underway, the pace of investment remains cautious .