SUVA, Feb 10 (NNN-PIN) – Fiji’s annual inflation rate has been increasing, since the second half of 2021, and was three percent in Dec, last year, Acting Prime Minister and Minister for Economy, Aiyaz Sayed-Khaiyum said, yesterday.
He said, higher prices were noted mainly for food and fuel, resulting from a surge in global commodity prices and continued supply chain disruptions.
Fiji’s inflation rate was 2.7 percent in Jan this year, led by higher prices for food and fuel, as well as, household furnishings, maintenance and health products, Khaiyum added.
He said, over the next few months, Fiji can expect inflation to rise in fruits and vegetables, due to damages in some places in Fiji.
Khaiyum said, the government is working behind the scenes to see how they can mitigate inflated prices of goods in the Pacific island nation.
Inflation stayed in the negative range for around 16 months between Oct, 2019, and Jan, 2021. Since Aug, 2021, inflation has been on an upward trajectory, led by supply-side constraints, recovery of domestic demand, relaxation of COVID-19 measures, and higher freight costs, Khaiyum said.
High inflations in Fiji’s key trading partners are also passed on to the island nation’s domestic prices, through imports of goods. In Dec last year, inflation in the United States was seven percent, the highest in almost four decades, with 5.9 percent in New Zealand and 3.5 percent in Australia, the highest since 2014, he said.– NNN-PIN
