As inflation in expected to be 6 percent by the end of the year and according to the Reserve Bank of Fiji it could impact people’s savings, spending and loan repayment ability, Acting Prime Minister, Professor Biman Prasad says the formal sector average salaries and wages in the country has increased by 25 percent compared to 2019 and is cushioning the impact of inflation.
He says this is according to calculations by the Fiji Bureau of Statistics.
Professor Prasad says this is due to a lot of people leaving the country and demand for workers increasing.
He further says whatever revenue they are getting is to support the vulnerable.
Professor Prasad says the government also took away the $650 million debt burden from 53,000 families.
The Acting Prime Minister says the tourism industry is back to normal and is more than the growth in 2019 so a lot of well paid jobs are being created.
He says this year, growth at 8 percent is very positive and there are other very positive indicators where they expect about $1.2 billion in remittances which is fueling consumption.
Professor Prasad adds the first quarter has been very good in terms of revenue collection.
