The 2020 economic contraction due to the COVID-19 pandemic was the largest in Fiji’s modern history. The loss of tourism revenue had negative spillover effects affecting Fiji’s overall economy. Moreover, these large fiscal impacts from the pandemic exacerbate Fiji’s pre-existing financing challenges. This chapter examines the socio-economic and environmental aspects of the pandemic on the ocean economy of Fiji, including job losses, the migration of Fijians back to their villages and heightened level of remittances. It also analyses international assistance to counter the pandemic, including regional partnerships and the Debt Service Suspension Initiative.
Towards a Blue Recovery in Fiji
COVID-19 Appraisal Report
3. The ocean economy of Fiji during the COVID-19 crisis
Abstract
3.1. The impact of the COVID-19 crisis on Fiji’s ocean economy
The 2020 economic contraction due to the COVID-19 pandemic was the largest in Fiji’s modern history. In economic and fiscal terms, small island developing states (SIDS) were on average hit the hardest by the COVID-19 pandemic. They experienced contractions in gross domestic product (GDP) of 7.1% in 2020, compared to 4.4% in developing countries (Figure 3.1) (OECD, 2021[1]). In Fiji, real GDP fell by an estimated 15.7% in 2020 and was projected to contract by a further 5% in 2021 (Figure 3.2) (ADB, 2021[2]). The fiscal deficit reached 13.7% of GDP in 2020/21 and is projected to remain at about the same level for 2021/22. This will be accompanied by a rise in public debt to nearly 90% of GDP by the end of the fiscal year (IMF, 2021[3]). Year-on-year consumer price inflation reached -2.8% at end-2020.
Fiji’s GDP fell mainly due to the closure of tourism-related activities. The travel restrictions and closing of borders due to COVID-19 variants almost completely shut down Fiji’s tourism sector. Across SIDS, the contribution of tourism to GDP was cut by half between 2019 and 2020 (Figure 3.3). The drop was even more pronounced across Pacific SIDS, going from 18% to 7% after the onset of COVID-19. Following three years of consecutive growth in the sector, travel restrictions led to an 80% reduction in the number of visitor arrivals in 2020 relative to 2019. Fiji’s tourism earnings declined by 84.8% (to USD 314.9 million) and were expected to fall by 95.5% in 2021 (Ministry of Economy Fiji, 2021[4]). In parallel, 20% of tourism businesses declared they were unable to service their debt. Losses for micro, small and medium enterprises (MSMEs) operating with tourism activities were seven times larger relative to non-tourism MSMEs. Estimates reveal that tourism MSMEs have each lost FJD 21 000 (or USD 9 706) compared with non-tourism MSMEs that lost FJD 3 000 each (IFC, 2020[5]).1
Figure 3.1. SIDS as a group recorded the largest GDP contraction globally in 2020
Note: The percentage is calculated based on an arithmetic average of individual countries growth projections. The SIDS category only includes ODA eligible SIDS.
Source: Authors’ representation based on IMF (2021[6]), World Economic Outlook (database), October 2021, www.imf.org/en/Publications/WEO/weo-database/2021/October/download-entire-database.
Figure 3.2. GDP year-on-year variation in the Pacific and in Fiji
Source: Authors’ representation based on ADB (2021[7]), Asian Development Outlook 2021 – Update: Transforming Agriculture in Asia, https://www.adb.org/publications/asian-development-outlook-2021-update.
Figure 3.3. Pacific SIDS saw the largest drop in tourism’s contribution to GDP following COVID-19 outbreak
Source: Authors’ representation based on UNOHRLLS (forthcoming[8]).
The halt in visitors’ arrivals had negative spillover effects on other ocean economy sectors, affecting Fiji’s overall economy. The prominence of tourism in Fiji’s economy means that shocks to the sector easily translate into impacts across the whole economy. The tourism sector also indirectly affected employment in aquaculture, small-scale and artisanal fisheries, and transportation. Hotels and resorts represent an important share of local demand for fish production, which suffered sudden drops in quantities purchased and prices (FAO, 2020[9]). The travel restrictions linked to the COVID-19 pandemic forced Fiji Airways to reduce its workforce and require remaining staff to accept salary reductions.
Large fiscal impacts from the COVID-19 crisis exacerbate Fiji’s pre-existing financing challenges. Even before the outbreak of COVID-19, Fiji faced critical financing challenges, owing to the small and volatile nature of private investments. As in many other SIDS, private investments in Fiji are constrained by the isolated nature of operations and high perceived investment risks. Meanwhile, public investments are limited due to volatile domestic revenues and limited fiscal space (OECD, 2018[10]). During the COVID-19 crisis, the public spending needs of Fiji have mounted, both to respond to the health emergency and to counter the economic effects of the pandemic. Meanwhile, revenues from key sectors, such as tourism, have collapsed. This combined effect urged the government to search for alternative sources of foreign exchange revenues and of financing necessary to service external debt, pay for imports and implement much-needed recovery measures.
Remittances displayed remarkable resilience, unlike in other SIDS. Remittances are the largest source of external financing for many SIDS (OECD, 2018[11]). Thus, it has been of high concern that during the COVID-19 crisis many SIDS recorded the largest falls in remittances in recent history (OECD, 2021[1]). In Fiji, however, the total inflow of remittances increased. This totalled USD 389.1 million in the first half of 2021 compared to an average of FJD 433.2 million (or USD 200.13 million) between 2010 and 2020 (Vula, 2021[12]). Given that a sizable amount of remittances also comes through mobile money platforms and informal channels, the actual inflows could be much higher. The COVID-19 pandemic has led to a rise in digitally-enabled remittances. The amount of money sent to Fiji via the M-PAiSA Mobile Money app quadrupled between February and August 2020.
Fiji implemented recovery packages equivalent to 5.6% of its GDP to respond to the COVID-19 crisis. This compares to an average of 6.0% of GDP expended by SIDS on fiscal stimulus packages, and to an average of 9.0% of GDP globally. On average, the Pacific SIDS allocated significantly higher budget shares to the COVID-19 response (9.0% of GDP), compared to SIDS in the Caribbean (3.2% of GDP) and in the Atlantic, Indian Ocean and South China Sea (4.7% of GDP, 3.0%) (UNOHRLLS, forthcoming[8])) (Figure 3.4). Most measures supported the health sector, social safety nets and income support. In some cases, support was also provided to key sectors, including tourism and agriculture, with some focus on small businesses and MSMEs. However, the government’s lack of fiscal space constrained the provision of direct monetary support to individuals and companies. For those in the tourism sector who lost their jobs, the Fijian government allowed access to an initial FDJ 1 000 from their National Provident Fund (FNPF) accounts. Other workers affected by the distancing and lockdown measures, and who were placed on leave without pay or had their hours cut, were able to access an initial FJD 500 from their FNPF accounts (KPMG, 2020[13]).
Figure 3.4. COVID-19 economic recovery packages across small island developing states (SIDS) (as a percentage of GDP)
Note: The estimate includes fiscal support of above-the-line measures of additional spending and forgone revenue, as well as below the line measures and contingent liabilities from guarantees and quasi-fiscal operations.
Source: Authors’ representation based on IMF (2021[6]).
During the COVID-19 pandemic, Fiji was hit by three tropical cyclones that added to the COVID-19 induced downturn and resulted in further challenges. Amid the COVID-19 pandemic, three tropical cyclones hit the country, namely “Harold” in April 2020, “Yasa” in December 2020 and “Ana” in January 2021. Both Tropical Cyclone (TC) Harold and TC Yasa were of category 5, and TC Yasa was also one of the strongest cyclones ever recorded in the Pacific. Destructive winds and flooding caused significant property damage, destroying villages, homes and government buildings. The cyclone also severely affected agriculture and infrastructure, including water supply, waste and sanitation, electricity and communications. Following TC Harold, the Ministry of Health identified outbreaks of typhoid, leptospirosis and dengue fever as a major concern (ADB, 2021[14]). In monetary terms, the impact of TC Harold is estimated at FJD 29 million (about USD 13 million) and of TC Yasa at FJD 25 (USD 12 million) (OCHA, 2020[15]; IFC, 2021[16]). These cyclones disrupted food supply and amplified the negative effects of the COVID-19 pandemic. More recently, in 2022, Tropical Storm Cody was responsible for massive devastation in Tonga and its effects were felt in Fiji where flooding resulted in the evacuation of over 100 families.
3.2. Social and environmental aspects of the COVID-19 crisis on the ocean economy of Fiji
Job losses and reduced hours have affected at least one-third of Fiji’s labour force.2 Most job losses occurred in the tourism sector with an estimated 100 000 workers losing their jobs due to COVID-19 (Doan et al., 2020[17]). Moreover, the Fiji Hotel and Tourism Association announced that 93% of its members had terminated business at least until the reopening of borders. To avoid running out of business, many firms had to renegotiate rent, defer loan repayments, and reduce wages and salaries. Hours were reduced temporarily by 59% of the businesses during the pandemic. This meant that six of every ten businesses reduced hours for their staff (Fiji Bureau of Statistics, 2021[18]).
Many Fijians moved back from urban areas to their villages, relying on the ocean for subsistence. With increased unemployment and reduced wages, many Fijians had to turn to subsistence activities to satisfy basic needs. Urban communities frequently have smaller backyards and insufficient space for farming, which makes them more reliant on markets as a source of food. Many people previously employed in the tourism sector returned to their villages and survived on fishing and farming activities for self-consumption. The Ministry of Fisheries provided free licences for inshore fisheries, which come with requirements on fishing practices. They also provided training so people would stop unsustainable fishing practices, such as the use of dynamite for fishing.
Tuna exports suffered from reduced demand and increased costs. Fiji’s offshore fisheries sector, largely driven by tuna exports, has been heavily affected by the COVID-19 crisis. High freight costs with lesser airfreight options out of Fiji, for example, increased operational costs. Lockdowns in the main export markets also led to loss of market demand. As fresh tuna is transported in commercial flights, almost all the fleet was grounded. This resulted in widespread unemployment among fishing crew and processing factory staff. This occurred despite the introduction of government measures, such as the extension of offshore fishing licences up to 20 years. In fact, regional fishery advisory bodies expressed concerns about the impact of COVID-19 on employment and working conditions. More than half reported an expected decrease in employment of capture fisheries and aquaculture in 2020 (Figure 3.5). For one domestic fishing operator that also owns a processing factory, all six fishing boats have been tied up with their crew no longer employed. In addition, more than 60% of its factory staff were left unemployed due to the decrease in fresh tuna exports. The company has also sold at least one fishing vessel, and is looking to sell others to stay afloat. It has not resumed fishing operations. To date, there has been little recovery since the onset of the crisis in early 2020. However, due to the opening of international borders combined with increasing airfreight options, it is expected the fresh tuna fishery in Fiji will continue to recover in 2022 as it becomes more profitable to service international markets.
Frozen tuna processing was less severely affected. Pacific Fishing Company (PAFCO) saw greater raw material coming into its processing factory. This led to more production shifts and higher employment of staff for processing lines. The supply chain for frozen tuna catch relies on sea freight. While delays have affected the supply chain, it has not seen the high increases in freight costs experienced by air freight. Fresh tuna prices in the United States, an important market for Fiji’s tuna, are recovering from the shocks of the COVID-19 crisis. The price of albacore tuna has recovered to pre-crisis levels.
Aquaculture production decreased owing to the decline in demand and dependence of imported feed. Shortage of inputs such as feed, seed and equipment had a negative impact on aquaculture production, disrupting production cycles (SPC FAME, 2021[19]). Reduced demand for fish owing to the tourism shutdown resulted in reduced staff, which has aggravated the economic effects of COVID-19 on the industry. Fijian aquaculture was also affected by reduced prices for pearls on Asian market, which resulted in further reduction in aquaculture production (FAO, 2020[9]).
Figure 3.5. Impacts on employment conditions
Note: The 19 regional bodies that responded to the survey are: Central Asian and Caucasus Regional Fisheries and Aquaculture Commission (CACFish); Commission for the Conservation of Antarctic Marine Living Resources (CCAMLR); Commission for the Conservation of Southern Bluefin Tuna (CCSBT); Inter-American Tropical Tuna Commission (IATTC); International Commission for the Conservation of Atlantic Tunas (ICCAT); Indian Ocean Tuna Commission (IOTC); International Whaling Commission (IWC); Lake Victoria Fisheries Organization (LVFO); Northwest Atlantic Fisheries Organization (NAFO); North Atlantic Salmon Conservation Organization (NASCO); North-East Atlantic Fisheries Commission (NEAFC); North Pacific Anadromous Fish Commission (NPAFC); North Pacific Fisheries Commission (NPFC); Pacific Salmon Commission (PSC); Regional Commission for Fisheries (RECOFI); South East Atlantic Fisheries Organization (SEAFO); South Indian Ocean Fisheries Agreement (SIOFA); South Pacific Regional Fisheries Management Organization (SPRFMO); and Western and Central Pacific Fisheries Commission (WCPFC).
Source: Authors’ representation based on data from UNCTAD and FAO (2020[9]).
High levels of informality in key sectors pose challenges for government assistance. Informal workers are commonly excluded from national social protection coverage and other services available to those employed in the formal labour sector. In addition, informal workers usually have limited access to information and to finance. They even have less access to national documents such as birth certificates, citizenship cards and voter registration, which makes them more vulnerable to economic shocks (ILO, 2021[20]). In an attempt to support these workers, Fiji’s government announced a one-off payment of FJD 150 to informal sector workers holding a street trader or hawker licence in lockdown areas (KPMG, 2020[13]). On top of that, Fijians in the informal sector who tested positive for the virus were eligible for a one-off sum of FJD 1 000 (KPMG, 2020[13]). Work seasonality, employment of foreign crews and relatively high levels of informality and self-employment have also made general stimulus packages less effective for fisheries and aquaculture (FAO, 2020[9]). In Fiji, as well as in Tonga and Vanuatu, seasonal workers do not qualify for government financial support. This means they lost not only the remittance revenue but also had limited ways to get by (IOM, 2020[21]).
Targeted support for the local fishing industry was announced in 2021. For the next two years, the government will provide free inshore fishing licences, benefiting registered fishers and boat owners. Annual registration fees, annual boat survey fees and boat licences will now be valid for five years. Owing to prolonged impacts of the COVID-19 crisis, further support to workers in the formal and informal sector was announced in 2021. Workers with insufficient liquidity and those affected in the informal sector are eligible for FJD 120 per month for six months. This assistance is only available for those Fijians who received their first dose of vaccination before the first week of August. The “Stronger Together” and “Jobs for Nature” schemes provide additional government support to the informal sector for the latter. Fiji’s government is providing wage subsidies for a three-month period to help the unemployed undertake reforestation-related jobs such as planting of mangroves and sea grass (Ministry of Economy Fiji, 2021[4]).
Box 3.1. Empowering Fijian women in fisheries for a sustainable recovery
A worsening of women’s conditions during the COVID-19 crisis
In Fiji, the condition of women has worsened during the COVID-19 pandemic. Growing unemployment and economic insecurity added to pre-existing inequalities linked to lower wages and more precarious work conditions for women. In addition, during the COVID-19 crisis, women and girls have taken on additional labour, caring for repatriated relatives and children out of school. Women’s unpaid household labour has increased as people have moved from urban to rural areas. Women are expected to care for migrating and returning extended family and to meet traditional family and community obligations. Lastly, women and girls have experienced increased risks of men’s physical and sexual violence during COVID-19, while their access to sexual and reproductive health was disrupted.
The positive example of the Women in Fisheries Network
Women in Fisheries Network Fiji was established in 1993 to promote women’s meaningful participation in fisheries. The Network brings together scientists, researchers, gender and development scholars and practitioners from business, government and non-governmental agencies. It operated until 2004 when it became inactive due to lack of resources and personnel to co‑ordinate activities effectively. In 2012, the Network became operational again with grant support from the Wildlife Conservation Society and the Australian Department of Foreign Affairs and Trade.
The focus is on helping build an environmentally sustainable, socially appropriate and economically viable fisheries sector in Fiji that recognises the role of women. The Network provides workshops and training targeted to women but open to all genders. These include financial literacy and business training, and workshops on policies and legislation pertaining to protecting and empowering women in Fiji, among others.
Women in Fisheries Network support during COVID-19
Women in Fisheries Network – Fiji (WiFN-Fiji) is implementing COVID-19 Financial Assistance to Women Fishers. The target provinces to benefit from this financial assistance are women fishers from Tailevu, Rewa, Ra and Ba. These were affected by COVID-19 due to the Suva and Lautoka lockdown in 2020. The project aims to provide financial assistance to both women fishers who have participated in Network activities and those who have not.
A total of 950 women fishers will benefit from this financial assistance with FJD 140 per person. The first group will include those that have attended a training/workshop hosted by WiFN-Fiji; are current Network members; and who were interviewed in the COVID-19 market survey from Suva, Nausori and Laqere market in May 2020. This financial support is meant to assist them with buying essential food items and other household necessities.
Source: Authors’ representation based on (Women in Fisheries Network, 2014[22]).
An increase in subsistence fisheries risks increasing pressure on coastal resources. Subsistence fishing already accounted for more than half of Fiji’s annual coastal harvest prior to COVID-19 (Figure 3.6), and with more people actively engaging in subsistence fishing, more pressure is added to coastal resources. However, as commercial fishing decreased at the same time that subsistence fishing increased, the precise effect on fish stocks remains unknown. In fact, it could take over a year for the impacts on stocks to reveal. Sustainable management of coastal fisheries is essential to ensure future food security and improve nutrition and livelihoods (ADB, 2021[23]).
Figure 3.6. Annual coastal fishing harvest, 2014
Source: Authors’ representation based on ADB (2021[24]).
While illegal, unreported and unregulated (IUU) fishing in the Pacific is in decline, the regional co-operation making this possible has been negatively affected by COVID-19 restrictions. A recent study showed positive signs that IUU fishing is decreasing with stronger co-operation among Pacific Island countries. It reported that most concerns faced by the licensed fleet were being addressed (MRAG Asia Pacific, 2016[25]). COVID-19 has limited technical support and training provided by regional fisheries organisations like Pacific Islands Forum Fisheries Agency (FFA), The Pacific Community (SPC), and the Western and Central Pacific Fisheries Commission (WCPFC) to fisheries administrations in the region due to the closure of international borders. This has forced support and training, like the Pacific Fisheries Leadership Programme, to be delivered virtually. This training is usually held in Fiji and often has the greatest number of participants from Fiji’s fisheries sector. While these types of programmes can continue to be run virtually, there have been challenges to build stronger relationships in person, a hallmark of Pacific fisheries for decades and an important perceived feature for the future of the fisheries sector.
3.3. International assistance to counter the COVID-19 crisis
The cost of the pandemic continues to exceed the budgetary capacity of many SIDS, including Fiji. Fiji has experienced record revenue losses resulting from the COVID-19 pandemic. Increased health and social spending accompanied by tax and tariff cuts to mitigate the economic effects of the COVID-19 crisis on companies and businesses have led to a sharp increase of central government debt. Budget support grants from key development partners boosted non-tax revenues and helped reduce the projected debt in 2020/21 (Table 3.1). Fiji received FJD 250 million (or USD 115.5 million) in cash budget support grants from key development partners, such as Australia, New Zealand and the European Union, among others (Ministry of Economy Fiji, 2021[4]). Yet, the debt-to-GDP ratio jumped from 49% in 2019 to 80% in 2021 (Figure 3.7). The variants of the COVID-19 virus continue to spread and a return to normal remains uncertain. Protracted exceptional public spending combined with the collapse of revenues from key sectors risks depressing public investment and constraining recovery responses. Therefore, access to support from the international development community and alternative sources of foreign exchange revenues and of financing become vital to service external debt, pay for imports and continue to implement much-needed recovery measures.
Figure 3.7. Evolution of Fiji’s debt pre- and post-COVID-19 outbreak
Source: Government of Fiji (2021[26]), 2020/2021 Annual Debt Report, https://www.economy.gov.fj/images/Resources/DebtReport/2020-2021_Annual_Debt_Report.pdf.
Regional partnerships have been critical in helping Fiji overcome the adverse effects of the pandemic. Under the leadership of the Pacific Island Forum, which includes Pacific SIDS as well as Australia and New Zealand, the Pacific Humanitarian Pathway on COVID-19 (PHP-C) was established as a regional response mechanism. It aims to improve health infrastructure and provide protective medical equipment to a range of Pacific SIDS, including Fiji, Papua New Guinea, New Caledonia and French Polynesia. In June 2020, Fiji, French Polynesia and New Caledonia each received 50 000 face masks, 10 000 medical gloves, 2 000 protective suits, 30 forehead thermometers and 3 ventilators under the co‑ordination of the PHP-C (Pacific Islands Forum, 2020[27]).
The Debt Service Suspension Initiative (DSSI) provided critical fiscal space to Fiji, but debt challenges remain. The G20-Paris Club DSSI for poorest countries (G20, 2020[28]) was established in 2020 to provide a temporary suspension in interest payments on debt-service to 73 eligible developing countries. Its main objective is to create fiscal space to channel funds into COVID-19 responses in the form of social, health and economic programmes. Initially, the suspension period was set to end on 31 December 2020 with the possibility of extension throughout 2021. Due to prolonged impacts of the pandemic, Fiji has benefitted from DSSI extended assistance until December 2021 by which point it had saved USD 29.6 million in total debt service payments to creditors (Figure 3.8). Multilateral creditors include the World Bank, Asian Development Bank (ADB), Asian Infrastructure Investment Bank, European Development Bank and the International Fund for Agricultural Development. Bilaterally, the People’s Republic of China (hereafter “China”) and Japan have also waived Fiji’s debt repayments temporarily.
Despite the suspension of debt repayment by the DSSI, Fiji’s external debt has increased with the pandemic. The government is struggling to maintain an external to domestic debt ratio of 30:70 (+/-5) (Government of Fiji, 2021[26]). The pressures on external debt show that some SIDS may need a more comprehensive approach to debt (OECD, 2021[1]). This could either take the form of debt relief initiatives or a Sovereign Debt Resolution Mechanism, a framework designed to provide a long-term solution to collective action and creditor co-ordination problems. Both the International Monetary Fund and the United Nations Conference on Trade and Development produced proposals for such mechanisms. However, they have encountered opposition and were never implemented (Lastra and Bodellini, 2018[29]).
Figure 3.8. Benefits from accessing the Debt Service Suspension Initiative
Source: Authors’ representation based on World Bank (2022[30]), Debt Service Suspension Initiative, https://www.worldbank.org/en/topic/debt/brief/covid-19-debt-service-suspension-initiative.
Multilateral partners have been key in assisting Fiji’s recovery. Worldwide, COVID-19 related restrictions have crushed the international aviation industry. As with most airlines around the world, Fiji Airways faced liquidity problems. Since March 2020, the company has been facing unprecedented stress with flights barely operating. To help the company through the international travel downturn and to support its return to profitable operation, the ADB approved a USD 65 million COVID-19 Liquidity Support Facility for Fiji’s Air Pacific Limited, which operates as Fiji. The financing comprises a USD 40 million loan from the ADB and a further USD 25 million loan from the Leading Asia’s Private Infrastructure Fund, which will be administered by the ADB (ADB, 2020[31]).
Fiji’s government is receiving assistance from the World Bank’s concessional arm to help mitigate the impact of the COVID-19 crisis on the income of the unemployed and the underemployed. The World Bank’s concessional arm, the International Development Association (IDA), provided USD 50 million (FJD 102.7 million) to the Fiji Social Protection COVID-19 Response and System Development Project. The project supports the unemployed and vulnerable by providing retroactive financing of cash payments to the unemployed who lost jobs or livelihood in formal and informal sectors due to the COVID-19 pandemic (World Bank, 2022[32]). The World Bank is also supporting Fiji’s recovery from crisis and natural disasters. Fiji has signed a USD 145 million (FJD 299 million) operation with the World Bank to promote private sector-led economic recovery. The operation also aims at enhancing social resilience to climate disasters and to strengthen debt and public financial management. This also includes USD 110 million from the IDA Crisis Response Window. In addition, it includes a regular IDA credit of USD 10 million under the Catastrophe-Deferred Drawdown Option. This is available for immediate pay-out in the event of a significant climate-related or public health disaster, an earthquake or a tsunami. The operation also provides a USD 25 million loan from the International Bank for Reconstruction and Development (World Bank, 2021[33]).
Bilateral assistance was also decisive to help Fiji protect the most vulnerable. In December 2021, New Zealand’s government announced USD 40 million (FJD 58 million) in budgetary support to help the Fijian government address the socio-economic impacts of the COVID-19 crisis (New Zealand Foreign Affairs & Trade, 2021[34]). Further support was given to vaccination in Fiji to which New Zealand has funded 100 000 doses of the AstraZeneca vaccine and Australia has committed AUS 16.9 million over three years (2020-23) for COVID-19 vaccine access. The contribution includes delivery support and vaccine procurement, drawing on Australia’s Regional COVID-19 Vaccine Access and Health Security Initiative. The vaccines started to arrive in Fiji on 4 August 2021; as of April 2022, 70% of Fijians were fully vaccinated (Ritchie et al., n.d.[35]). Australia and the United States are also key contributors to building resilience in Fiji. The “Fiji-Australia Vuvale Partnership”, established in September 2019, is based on three main pillars: health security, stability and economic recovery (Australian Government Department of Foreign Affairs, n.d.[36]). Through this partnership, Australia aims to support Fiji’s COVID-19 response plan by increased public sector efficiency. To that end, it will help Fiji seek profitable diversified investment opportunities, while working towards fiscal sustainability. In addition, Fiji has received Australia’s largest transfer in the Pacific directed to Fiji's social welfare schemes as part of Fiji’s response to tropical cyclone Harold. In parallel, the United States has provided USD 1.9 million to help Pacific SIDS manage the effects of the COVID-19 pandemic. The assistance is directed to UNICEF Pacific, which is headquartered in Fiji. It aims to provide both emergency supplies to Fiji, as well as vaccine technical assistance to countries throughout the Pacific (USAID, 2021[37]).
Beyond the members of the OECD Development Assistance Committee (DAC), or so-called traditional donors, China and the United Arab Emirates (UAE) provided support to Fiji’s COVID-19 response. Following the outbreak of the pandemic, China announced a nearly USD 4.6 million cash donation and shipments of medical aid to Fiji and other Pacific SIDS. China has also provided additional medical supplies to Papua New Guinea, Vanuatu, Fiji and the Federated States of Micronesia. The UAE has also assisted Fiji with medical supplies such as personal protective equipment and testing kits to help medical professionals.
References
[7] ADB (2021), Asian Development Outlook 2021 – Update: Transforming Agriculture in Asia, Asian Development Bank, Mandaluyong, The Phillipines, https://www.adb.org/publications/asian-development-outlook-2021-update (accessed on 15 April 2022).
[2] ADB (2021), Fiji: Country Classification, Asian Development Bank, Mandaluyong, The Philippines.
[14] ADB (2021), “Fiji: Tropical Cyclone Harold Emergency Response Project”, webpage, https://www.adb.org/projects/54229-001/main (accessed on 24 February 2022).
[24] ADB (2021), Pacific Economic Monitor, https://www.adb.org/sites/default/files/publication/757271/pem-december-2021.pdf.
[31] ADB (2020), Fiji Airways COVID-19 Liquidity Support Facility: Report and Recommendation of the President December 2020, Asian Development Bank, Mandaluyong, The Philippines, http://www.adb.org/projects/documents/fij-54311-001-rrp.
[23] ADB, A. (2021), “Pacific Economic Monitor – December 2021:Reopening and Rebuilding for a resilient recovery”, https://www.adb.org/publications/pacific-economic-monitor-december-2021.
[36] Australian Government Department of Foreign Affairs (n.d.), Fiji-Australia Vuvale Partnership, webpage, https://www.dfat.gov.au/geo/fiji/fiji-australia-vuvale-partnership (accessed on 26 April 2022).
[17] Doan, D. et al. (2020), Pacific Labor Mobility, Migration and Remittances in Times of COVID-19: Interim Report, World Bank Group, Washington, DC.
[9] FAO (2020), “The impact of COVID-19 on fisheries and aquaculture – A global assessment from the perspective of regional fishery bodies”, Initial Assessment, No. May, Food and Agriculture Organization of the United Nations, Rome, https://doi.org/10.4060/ca9279en.
[18] Fiji Bureau of Statistics (2021), COVID-19 Business Impact in Fiji, Fiji Bureau of Statistics, Suva.
[28] G20 (2020), “Communiqué G20 Finance Ministers and Central Bank Governors Meeting 15 April 2020”, G20, https://g20.org/en/media/Documents/G20_FMCBG_Communiqu%C3%A9_EN%20(2).pdf.
[26] Government of Fiji (2021), 2020/2021 Annual Debt Report, Government of Fiji, Suva, https://www.economy.gov.fj/images/Resources/DebtReport/2020-2021_Annual_Debt_Report.pdf (accessed on 8 February 2022).
[16] IFC (2021), Fiji TC YASA Business Survey, webpage, http://www.ifc.org (accessed on 11 April 2022).
[5] IFC (2020), Fiji Covid-19 Tourism Survey – Tourism Focus, International Finance Corporation, Washington, DC, https://www.ifc.org/wps/wcm/connect/4fc358f9-5b07-4580-a28c-8d24bfaf9c63/Fiji+COVID-19+Business+Survey+Results+-+Tourism+Focus+Final.pdf?MOD=AJPERES&CVID=ndnpJrE (accessed on 1 February 2022).
[20] ILO (2021), “We have the power to change lives”, COVID-19 and the World of Work, 6 June, International Labour Organization, Geneva, https://www.ilo.org/suva/public-information/WCMS_799622/lang--en/index.htm.
[3] IMF (2021), “Republic of Fiji”, Country Report, No. 21/257, International Monetary Fund, Washington, DC.
[6] IMF (2021), World Economic Outlook Database, October (database), https://www.imf.org/en/Publications/WEO/weo-database/2021/October/download-entire-database (accessed on 22 March 2022).
[21] IOM (2020), Rapid Assessment of the Socioeconomic Impacts of COVID-19 on Labour Mobility in the Pacific Region, International Organization for Migration, Geneva, https://publications.iom.int/books/rapid-assessment-socioeconomic-impacts-covid-19-labour-mobility-pacific-region (accessed on 3 February 2022).
[13] KPMG (2020), “Fiji- Measures in Response to COVID-19”, webpage, https://home.kpmg/xx/en/home/insights/2020/04/fiji-government-and-institution-measures-in-response-to-covid.html (accessed on 8 March 2022).
[29] Lastra, R. and M. Bodellini (2018), “Soft Law and Sovereign Debt”, United Nations Conference on Trade and Development, Geneva, https://unctad.org/system/files/non-official-document/SOFT%20LAW%20AND%20SOVEREIGN%20DEBT.pdf.
[4] Ministry of Economy Fiji (2021), Economic and Fiscal Update to the 2021-2022 Budget, Ministry of Economy, Republic of Fiji, Suva, https://www.economy.gov.fj/images/Budget/budgetdocuments/supplements/Budget_Supplement_2021-2022_Web.pdf (accessed on 10 March 2022).
[25] MRAG Asia Pacific (2016), Towards the Quantification of Illegal, Unreported and Unregulated (IUU) Fishing in the Pacific Islands Region, MRAG Asia Pacific, Toowong Qld, Australia, https://www.ffa.int/files/FFA%20Quantifying%20IUU%20Report%20-%20Final.pdf.
[34] New Zealand Foreign Affairs & Trade (2021), Support for Fiji’s 2021 COVID-19 outbreak, webpage, http://www.mfat.govt.nz/fr/aid-and-development/humanitarian-action/support-for-fijis-2021-covid-19-outbreak/ (accessed on 26 April 2022).
[15] OCHA (2020), “Tropical Cyclone Harold”, webpage, https://reliefweb.int/disaster/tc-2020-000049-vut (accessed on 11 April 2022).
[1] OECD (2021), “COVID-19 pandemic: Towards a blue recovery in small island developing states”, OECD Policy Responses to Coronavirus (COVID-19), OECD Publishing, Paris, https://doi.org/10.1787/241271b7-en.
[11] OECD (2018), Making Development Co-operation Work for Small Island Developing States, OECD Publishing, Paris, https://doi.org/10.1787/9789264287648-en.
[10] OECD (2018), Making Development Co-operation Work for Small Island Developing States, OECD Publishing, Paris, https://doi.org/10.1787/9789264287648-en.
[27] Pacific Islands Forum (2020), “Pacific humanitarian pathway on COVID-19 continues delivery of medical supplies”, 30 June, Pacific Islands Forum, https://www.forumsec.org/2020/06/30/pacific-humanitarian-pathway-on-covid-19-continues-delivery-of-medical-supplies/.
[35] Ritchie, H. et al. (n.d.), Coronavirus (COVID-19) Vaccinations, (database), https://ourworldindata.org/covid-vaccinations?country=OWID_WRL (accessed on 14 April 2022).
[19] SPC FAME (2021), “Synthesis of COVID-19 impacts on fisheries and aquaculture in the Pacific”, Information Paper, No. 5, 13th SPC Heads of Fisheries Meeting, https://lmmanetwork.org/resources/covid/ (accessed on 14 March 2022).
[8] UNOHRLLS (forthcoming), Financing for Development of SIDS.
[37] USAID (2021), “United States provides additional $1.9 for urgent COVID-19 assistance in the Pacific Islands”, 25 October, Press Release, United States Agency for International Development, Washington, DC, https://www.usaid.gov/pacific-islands/press-releases/10-25-2021-us-provides-additional-1-point-9-million-urgent-covid19-assistance-pacific-islands.
[12] Vula, T. (2021), “RBF: Fiji records increased inward remittances”, 1 September, The Fiji Times, https://www.fijitimes.com/.
[22] Women in Fisheries Network (2014), The role and engagement of Women in Fisheries in Fiji, http://womeninfisheriesfiji.org/wp-content/uploads/2016/10/The-Role-Engagement-of-Women-in-Fisheries-in-Fiji.pdf (accessed on 18 May 2022).
[30] Word Bank (2022), Debt Service Suspension Initiative, https://www.worldbank.org/en/topic/debt/brief/covid-19-debt-service-suspension-initiative (accessed on 18 May 2022).
[32] World Bank (2022), “Fiji Social Protection COVID-19 Response and System Development Project Additional Financing Environmental and Social Management Framework (ESMF)”, webpage, https://projects.worldbank.org/en/projects-operations/project-detail/P175206 (accessed on 8 February 2022).
[33] World Bank (2021), “World Bank Group’s new Country Partnership Framework for Fiji (2021-2024)”, Brief, 29 January, World Bank, Washington, DC, https://www.worldbank.org/en/country/pacificislands/brief/world-bank-groups-new-country-partnership-framework-for-fiji-2021-2024#:~:text=The%20World%20Bank.
Notes
← 1. Unless originally informed in USD by the source, all values provided in dollars in this chapter were converted using BSP calculator (www.bsp.com.fj/business-banking/exchange-rates/calculator/) with an approximate rate of 1 FJD = USD 0.4622.
← 2. According to Fiji’s Bureau of Statistics, the total labour force captures by the Employment and Unemployment Survey 2015/16 was equal to 346 214.