AGP Executive Report

Tourism: Fiji’s sector is developing coordinated crisis-response plans as cyclones, aviation disruptions and rising travel costs expose its vulnerability to external shocks. Shipbuilding: A proposed $792 million ship repair and shipbuilding facility in Lautoka could generate $2.7 billion in revenue over 30 years, with a phased launch and public-private partnership proposed. Cybersecurity: Fiji is reviewing a suspected breach of a Suva-based regional organisation after the US warned that China-linked hackers accessed its network; the organisation and extent of the breach remain undisclosed. Energy: Energy Fiji Limited plans $2 billion in investment over four to five years to expand renewable generation, storage and grid capacity as electricity demand grows. Air travel: Fiji Airways says fuel, weather and airport restrictions are driving domestic fares; the airline reported a $25 million 2024 loss, largely tied to foreign-exchange losses. Agriculture: Narsaiya Naidu Chetty was named 2026 Goat Farmer of the Year after building a livestock business that now employs workers and helps other farmers get started.

Energy Investment: Energy Fiji plans to invest $2 billion over four to five years in renewable generation, storage and grid upgrades, targeting 60% renewable electricity by 2029. Land approvals and other project requirements remain hurdles. Airline Costs: Fiji Airways says fuel, weather and airport restrictions are pushing up domestic operating costs. The airline reported a $25 million after-tax loss in 2024 and says it must balance affordable fares with financial sustainability. Digital Business: Pacific tech firm NiuPay plans to invest several million dollars in Fiji over five years and grow its local team to 8–12 staff within a year. Agriculture Finance: Fiji Development Bank will use Green Climate Fund preparation support to develop a proposed guarantee facility aimed at improving climate-finance access for farmers and agribusinesses. Trade and Industry: Fiji and India are urged to turn bilateral trade—which has more than doubled in five years—into investment and local processing opportunities. A proposed Yaqona Bill would require industry operators to register, with fees still under discussion.

Climate Finance: The Green Climate Fund has approved preparation support for Fiji Development Bank’s proposed Climate-Smart Agriculture Guarantee, which aims to widen farmers’ access to finance for climate-resilient investment. A full funding proposal is expected after nine months of studies and consultations. Kava Industry: Growers are urging lawmakers to distinguish small farmers from commercial operators in the proposed Kava Bill, warning that penalties of up to $10,000 could be too steep. Industry leaders say affordable, clear registration could improve quality control and export access. Tourism and Aviation: Fiji Airways carries about 70% of visitors to Fiji, but the airline says limited accommodation capacity makes it harder to turn transit passengers into longer-staying tourists. Three Accor hotels have also gained Ecotourism Australia certification, adding sustainability standards to the tourism offer. Airline Finances: The national air carrier has reported a $25 million loss, raising pressure to strengthen performance in a sector central to visitor arrivals and trade. Fisheries: A licensed fisherman says delays in renewing fishing licences are disrupting operators and wants the process with customary fishing-ground owners improved.

Cybersecurity: The US says China-linked hackers accessed an unnamed Suva-based regional organisation’s network for several days in July and August, highlighting growing digital-security risks for Fiji’s role as a Pacific communications hub. Tourism and Aviation: Fiji Airways carries about 70% of visitors arriving in Fiji. The airline reported a $25 million loss in 2024 despite record revenue of $1.847 billion, hit by foreign-exchange losses; it estimates it would otherwise have made a $42 million profit. Sustainable Tourism: Three Accor hotels in Fiji have become the first in the region to receive Ecotourism Australia certification, recognising sustainability efforts and setting a framework for further improvements. Agriculture: Fiji has soft-launched a $147 million agrifood portfolio, while a Cakaudrove goat farmer’s success highlights the potential of livestock businesses. Climate Risks: Forecasters expect two to three cyclones to pass through Fiji’s waters this season, with one or two potentially severe—a threat to communities, tourism and agriculture.

Kava Industry: Farmers and vendors say they had little notice of consultations on the proposed Kava Bill, which would introduce licensing and registration requirements. The rules could reshape how yaqona businesses operate. Tourism and Environment: Plastic waste found along Fiji’s coast is raising concern for tourism, which depends on clean beaches and healthy marine ecosystems. Better collection and recycling services are needed alongside awareness campaigns. Insurance: Fiji’s insurance brokers’ association has relaunched after more than a decade inactive. Its new president wants a review of the ageing Insurance Act and more insurance education, noting that only about one in 10 people has cover. Local Enterprise: A former resort worker has started a family watersports business in Lautoka, bringing activities usually aimed at tourists to local customers. Energy Savings: Solar installations planned for Labasa Handicraft Market, Savusavu Market and Savusavu Hospital are expected to save close to FJ$50,000 in electricity costs in their first year.

Tourism & Waste: Plastic found at every stop on Fiji’s coast during a cleanup campaign highlights weak waste systems and risks to the beaches and marine life that attract visitors. Fisheries: El Niño could shift tuna grounds and fishing activity across the Pacific into 2027, while a regional report warns criminal networks are exploiting tuna shipments to smuggle cocaine. Kava Industry: Farmers and vendors in Labasa say they had little notice of consultations on the proposed Kava Bill; some support licensing, but want the industry’s operators heard. Energy Costs: Solar upgrades at the Labasa Handicraft Market, Savusavu Market and Savusavu Hospital are expected to save nearly FJ$50,000 in their first year. Business & Insurance: Fiji’s insurance brokers’ association has relaunched after more than a decade inactive, with a push to review the ageing Insurance Act and improve coverage in a market where about 10% of people are insured. Rural Livelihoods: Dry weather has halted work for 26 employees at Taveuni’s Ura Estate, with falling water supplies threatening dalo, yaqona and coconut income.

Fisheries: A strengthening El Niño could shift tuna stocks and fishing grounds across the Pacific through 2027, threatening catch rates and economies that depend on the industry. Agriculture: Fiji has unveiled a $147 million investment portfolio for coconut, cocoa, pineapple and breadfruit, expected to benefit about 31,600 households. But dry conditions are already disrupting livelihoods on Taveuni: 26 Ura Estate workers have been sent home as water supplies fall and key crops suffer. Household Costs: Pacific governments are using social protection to soften the fuel-price shock; Fiji’s response includes welfare increases and rebates for bus operators and Energy Fiji Limited. Air Freight: Texel Air has added a Boeing 737 freighter, with another due in January, expanding cargo capacity in the region.

Agriculture and Jobs: Prolonged dry weather has halted work at Taveuni’s Ura Estate, sending 26 workers home and threatening dalo, yaqona and coconut crops. The estate warns its water supply could run out within two weeks. Investment: Fiji has soft-launched a $147 million agrifood portfolio covering coconut, cocoa, pineapple and breadfruit, with plans pitched to investors in Australia ahead of a forum in Rome. The projects are expected to benefit about 31,600 households. Savings and Finance: FNPF’s 60th-anniversary competition aims to encourage voluntary membership and additional contributions, linking member savings with future economic strength. Trade and Energy: Texel Air has added a Boeing 737 freighter to its New Zealand operation, with another due in January, while Fiji is urging the Pacific to accelerate renewable energy and cut reliance on imported fuel.**

Air Freight: Texel Air is expanding its freighter fleet, with a new aircraft added and another due in January — a boost to regional cargo capacity and export links. Solar Savings: Three Vanua Levu public facilities, including Labasa’s handicraft market and Savusavu Hospital, could save nearly $50,000 in electricity costs in their first year through solar installations. Renewable Investment: Australia has announced a Fiji project to install solar and battery systems at 13 remote schools, extending reliable power to underserved communities. Responsible Development: Great Council of Chiefs chairman Ratu Viliame Seruvakula says investors must work through traditional leadership and community decision-making channels to build trust and protect resources. Business Scrutiny: Fiji is asking the US to share evidence behind corruption allegations against businessman Zhao Fugang, stressing that any local action must follow Fiji’s legal processes.

Solar Savings: Rooftop systems planned for Labasa Handicraft Market, Savusavu Market and Savusavu Hospital could cut their combined electricity costs by nearly $50,000 in the first year under the World Bank-financed Na Vualiku Project. Responsible Investment: Great Council of Chiefs chairman Ratu Viliame Seruvakula warned that investors who bypass traditional leadership risk undermining community trust and urged them to respect Vanua decision-making. Tourism Oversight: The competition watchdog is investigating a Nadi hotel closure that left guests without paid accommodation, and is seeking a clear refund timeline. Export Growth: Tavua-based Fresher Marketing supplies produce to New Zealand and Japan, working with local farmers to grow more than 40 products for export.

Business Integrity: Fiji is demanding evidence from the US over corruption allegations against businessman Zhao Fugang, who denies wrongdoing; police are investigating. Investment and Exports: The Great Council of Chiefs says investors must respect Vanua decision-making to build community trust. Tavua exporter Fresher Marketing, meanwhile, ships produce weekly to New Zealand and Japan, relying on farmers growing to order and stable market links. Green Investment: The Reserve Bank says gaps in financial data are making it difficult to measure whether Fiji’s green finance rules are directing capital to sustainable projects. A new Australian-backed initiative will install solar and battery systems at 13 remote Fijian schools, while fresh pledges lift Pacific Resilience Facility funding to US$190 million—still short of its US$500 million target.

Consumer Affairs: Fiji’s competition watchdog is investigating a Nadi hotel that closed after guests had paid, seeking a clear timetable for refunds or acceptable alternative stays. Green Finance: The Reserve Bank says data gaps are making it difficult to track whether Fiji’s green-finance rules are directing investment to eligible projects and delivering results. Rural Energy: Solar power is being targeted at 399 rural and maritime communities, with early projects expected to help households, health centres, schools and local businesses. Climate Funding: New pledges of US$13.3 million lift commitments to the Pacific Resilience Facility to US$190 million, still well below its US$500 million initial target. Pacific leaders at Fiji’s Pre-COP urged faster access to finance and practical action ahead of COP31. Markets and Trade: Fiji’s foreign liabilities have risen to $25.6 billion, while the Reserve Bank reported a $26 million profit as inflation remains a challenge. A new five-year, $5.2 million carbon-market plan aims to prepare Fiji for its first international carbon trade by 2030. Business Scrutiny: Fiji is asking the United States to provide evidence behind corruption allegations against Fiji-based businessman Zhao Fugang, who denies wrongdoing.

Business Scrutiny: The U.S. has sanctioned Fiji-based businessman Zhao Fugang over alleged bribery on behalf of China-based interests. Zhao denies the claims, says he was not given a chance to respond and has not been charged in Fiji. Rural Energy: Solar projects are planned for 399 rural and maritime communities. Initial funding of about US$9.3 million is supporting work, with the first three sites expected to serve more than 1,000 people and help farmers and fishers store produce. Climate Finance: Pre-COP31 brought new pledges for the Pacific Resilience Facility, but it remains US$320 million short of its US$500 million minimum target. Fiji pledged US$10 million, while delegates also highlighted electrification as a way to cut energy costs and create economic opportunities. Water Pressure: El Niño-linked dry conditions have prompted emergency water deliveries to some maritime islands, with the government preparing for the drought to continue into early next year.

Trade Links: Fiji’s trade and tourism expo in Port Moresby is bringing 10 Fijian businesses and organisations together with PNG partners to promote products, tourism and new commercial ties. PNG businessman Albert Wamiri urged investment in Fiji, pointing to opportunities in tourism and food supply. Climate Finance: The Pacific Resilience Facility remains US$320 million short of its US$500 million minimum target. Fiji has pledged US$10 million, while the UK, Denmark and Solomon Islands have also committed funds; the facility is designed to support community-led projects. Energy and Infrastructure: Fiji says reaching remote communities with reliable electricity is vital for rural businesses and services, with mini-grids and off-grid renewables key to its 2030 access goal. Australia has also pledged US$3 million for regional resilience projects, including upgrades to Fiji’s Kings and Queens Roads. Business Scrutiny: The US has sanctioned Fiji-based businessman Zhao Fugang over alleged bribery linked to China-based interests. Zhao denies the claims, says he has not been questioned by Fijian authorities and has asked the US Embassy for details.

Business Risks: The US sanctioned Fiji-based businessman Zhao Fugang over alleged corruption linked to China-based actors, bringing renewed scrutiny to business and political connections. Climate Finance: Fiji pledged another $10 million to the Pacific Resilience Facility, but the ADB says current adaptation finance covers only 26% of the region’s projected annual needs. Growth & Trade: The ADB cut Fiji’s 2026 growth outlook to 2.2%; trade pressures persist even as exporters report stronger demand. Investment: Fiji’s FJD$5.2 million carbon-market plan targets its first international carbon trade by 2030. Markets: Kava prices have more than doubled in a year, while FHL announced a $4.1 million dividend. Tourism: Fiji Airways plans to add more than 125,000 seats in 2027.

Climate diplomacy in the Pacific: Nepal has proposed a “Sagarmatha to the Sea” partnership linking Himalayan and Pacific island climate risks, as leaders push for stronger action ahead of COP31 in Turkey. Pacific finance pressure: Palau President Whipps urged COP31 to replace slow climate finance and debt with faster, grant-based support, while ADB chief Kanda warned adaptation funding covers only about 26% of Pacific needs. Fiji’s PRF push: Fiji’s Foreign Minister Ditoka said the Pacific Resilience Facility must keep communities “in the driving seat,” with flexible, locally led resilience. Tuvalu’s unity call: Tuvalu PM Teo urged leaders to rally behind the Taku Pakasoa Declaration for a stronger, unified push on climate action. PRF funding update: Fiji, Ireland, the Netherlands and Denmark pledged about $15m, but the PRF remains far below its target. Local business & jobs: Fiji Rugby Union shortlisted 31 applicants for its head coach role, with Jake White reported as a frontrunner. Trade focus: Fiji’s Finance PS said the Fiji-Australia treaty can help exports, but domestic reforms are needed to tackle the trade deficit. Community support: Government plans to raise Fiji’s fire victim grant to up to $10,000, depending on damage.