Fiji Trade Commission

Government
After being run as a British colony for nearly a century, Fiji became independent in 1970.
Under the 1997 Fiji Constitution, the President (Head of State) was appointed for a 5-year term by the Great Council of Chiefs, a traditional ethnic Fijian leadership body. The President in turn appointed the Prime Minister (Head of Government) and Cabinet from among the members of Parliament.

In April 2009, the 1997 Constitution was abrogated by His Excellency the former President Ratu Josefa Iloiloivatu Uluivuda. Subsequently, the President appointed Commodore Josaia Voreqe Bainimarama as Fiji’s Prime Minister for a term of 5 years. The President also mandated the Bainimarama Government to implement a reformist and modernizing agenda for the nation, as well as to conduct elections for parliamentary Government under a just and fair electoral system based on common and equal citizenry by September 2014. Mr. Bainimarama appointed a Cabinet of 10 Ministers to jointly run the affairs of the Government.

Following the retirement of President Uluivuda in July 2009, His Excellency Ratu Epeli Nailatikau was officially appointed Fiji’s President on 5 November 2009.

There are four administrative divisions--central, eastern, northern, and western - each under the charge of a Divisional Commissioner. Fiji maintains a judiciary consisting of a Supreme Court, a Court of Appeals, a High Court, and magistrate courts.

Location and Geography
Fiji is located in the South Pacific Ocean region on the 180 degrees International Dateline between Latitude 15 and 22 degrees South. It is about a three hours flight from New Zealand towards Hawaii and some 5,500 miles away from Los Angeles, USA.

The country comprises of a group of 333 tropical Islands with a total landmass of 7,054 square miles (18,270 square kilometers). The main islands are of mountainous volcanic origin wth the highest point, Mount Tomanivi, at 4,343 feet (1,324 meters) above sea level. Smaller coral island atolls surround the main islands.


The 333 Islands of Fiji	Fiji on the World Map

Climate
Fiji enjoys tropical maritime climate with only slight seasonal temperature variations, approximately between 20 to 32 degrees Celsius or 68 to 90 degrees Fahrenheit. The rainy season is between November to January and actual past records have shown that one major cyclone happened once every ten years.

Population, Religion and Language
Fiji boasts a multiracial population of about 850,000 people, with 54 percent native Fijians (Melanesians with a Polynesian admixture), Indians - 38 percent, and small communities of European, other Pacific Islanders and overseas Chinese. Major religious groups are Christians, 52 percent (Methodists 37 percent, Roman Catholics nine percent), Hindu, 38 percent, and Muslim, eight percent. Ethnic Fijians are mainly Christian and Indians Hindu.

The main language is English. Fijian and Hindi are the other two languages used by the two main ethnic communities.

Fiji's Economy
Fiji is one of the most developed Pacific Island economies, with an estimated Gross Domestic Product (GDP) of approximately F$6.09 billion (US$3.17 billion) and per capita income of F$7,178 (US$3,741) in 2010. Agriculture, tourism, manufacturing, transport & storage and wholesale & retail trade are the principal industries/sectors in the economy, although non-traditional industries such as Audio-Visual (AV) and Information, Communication and Technology (ICT) are now emerging. As a small open economy, Fiji relies heavily on trade, which represents around two-thirds of its GDP. Fiji’s major trading partner countries are the United States (US), Australia, New Zealand, Japan, the Euro region and China.

Fiji has experienced large current account deficits in the past, driven mainly by merchandise trade deficits despite surpluses in the services (due to tourism receipts) and secondary income (personal remittances) accounts. The Government is undertaking measures to grow exports and reduce imports wherever possible, in its attempt to foster sustainable economic growth and investments. Accordingly, investment in areas of export promotion and import substitution; particularly for certain food categories and alternative and renewable energy programmes; are being encouraged by the Government.

Following a marginal contraction of 0.2 percent in 2010, Fiji’s economy is estimated to have expanded by 2.1 percent in 2011. This growth was driven by the agriculture; financial intermediation; transport, storage & communications; hotels & restaurants; real estate & business services; manufacturing; forestry; education; other community, social & personal service activities and the wholesale & retail sectors. In contrast, the public administration & defence; mining & quarrying; fishing; construction; health & social work and the electricity & water sectors contributed negatively towards overall growth. Broadly, in 2011, growth was driven by the primary and service-oriented sectors.

For 2012 and 2013, the domestic economy is projected to grow by 2.3 percent and 1.9 percent, respectively. The manufacturing; agriculture; financial intermediation; real estate & business services, forestry; hotels & restaurants, fishing and the mining & quarrying sectors are projected to be the main drivers of growth in 2012, while broad-based growth is expected in 2013 with the exception of the public administration & defence and the health & social work sectors.

Looking at the tourism industry, provisional data suggests that a record 631,868 tourists visited Fiji in 2010, a yearly increase of 16.5 percent. In 2011, visitor arrival numbers are estimated to have grown further to around 676,099, based on strong visitor arrivals since the beginning of the year. The 2012 visitor arrivals projection currently stands at around 703,000. The growth in tourist arrivals is being supported by improved demand in key source countries; particularly Australia; discounted package deals, active promotions and strong marketing campaigns by Tourism Fiji. In addition, strengthening relations with key airline partners has enabled greater market access for potential visitors to Fiji.

For 2011, exports are estimated to have grown by 17.1 percent, based on anticipated higher earnings from re-exports, sugar, gold, molasses, mineral water, timber, fruits & vegetables and other domestic exports. For 2011, imports (excluding aircraft) are estimated to have grown by 4.5 percent, led by higher payments for machinery & transport equipment, food, mineral fuel, oils & fats and beverages & tobacco.

Exports in 2012 are projected to grow by 3.1 percent. This is expected to be driven by higher earnings from re-exports, gold, timber, fish and other domestic exports. For 2013 and 2014, exports are forecast to grow by 8.9 percent and 3.6 percent, respectively. The strong performance in 2013 is expected to be broad-based with increased earnings from all major exports categories. In 2014, increased export earnings from gold, timber, fruits & vegetables, mineral water, fish and other domestic exports is anticipated.

Imports are expected to rise by 3.0 percent in 2012. This is underpinned by higher imports of mineral fuel, food, chemicals and manufactured goods, which is expected to offset the decline in imports of machinery & transport equipment.

As at 29 December 2011, foreign exchange reserves stood at F$1,511.5 million (US$833.1 million), equivalent to around 4.9 months of retained imports of goods and non-factor services.