$67.2 million in arrears are owed to municipalities across the country as 44,749 registered ratepayers around Fiji are urged to pay their various councils their rates so services and infrastructure are not tampered with due to the huge expenditures incurred from these arrears.
Suva City is the largest ratepayer base, with 11,468 ratepayers of which 9,441 are residential ratepayers.
Nasinu is the second largest ratepayer base, which has 11,377 ratepayers out of which 10,953 are residential ratepayers, while Lautoka is the third largest ratepayer base in the country.
Minister for Housing and Local Government Maciu Nalumisa says as of the 12th of July 2024, the interest rates on arrears have been increased from 5 percent to 11 percent, and now they will only charge simple interest rates on arrears rather than the compound interest that was being previously charged.
Nalumisa reiterates that for the cities and towns to enjoy the services of the Councils and have a strong infrastructure, the ratepayers have a responsibility to pay their dues.
The Minister highlighted that the municipal councils, in consultation with the Ministry, have prepared the rates collection plan that will assist the ratepayers who are facing financial difficulties.
He says the councils have been making arrangements with the struggling ratepayers to pay their rates in instalments or small payments.
Nalumisa says their Ministry, together with the 13 municipal officers around the country, has conducted a rate profiling exercise to assert the total outstanding, as well as, ageing rates and identify the challenges in rate recovery processes by the councils.
Opposition MP Pravin Bala questioned the Minister about the benefits of the revived interest rates when it is changed from compound to simple rates, where the Minister replied that the change in this methodology is to lighten the burden on the ratepayers who are already struggling financially.
