Inflation is expected to get worse before it gets better.
While stating this, ANZ Fiji Country Head Rabih Yazbek says the minimum wage increase by government is expected to help cushion the rise in food prices as global supply chains continue to create challenges for operators.
He says on the flip side, there are people who are not on minimum wage and would expect a pay rise to factor in the cost of living.
Yazbek says their clients have informed them that it has been really challenging to put together their forecast for next year due to issues such as shipping cost and price inflation.
Yazbek says they still expect a double digit growth for Fiji this year.
Yazbek says businesses in Fiji would need to stock more than they usually would, they need to build more warehouse capacity and push through price increases where they can.
ANZ Head of Trade and Supply Chain, Gareth Coleman says there has been a real escalation in global supply chain complications over the past few months, with the Ukraine conflict as well as COVID lockdowns and closures in China making it harder for both consumers and producers. Coleman says the future of global supply chain hinges on how companies navigate challenges including the pandemic, ongoing geopolitical concerns, climate change and the opposing trends of globalisation and protectionism.
