The Reserve Bank of Fiji left its benchmark interest rate on hold at a record low of 0.5 percent at its April 2019 meeting, saying the current monetary policy was appropriate to support the economy. The economic growth is expected to slow this year, owing to the moderation in recent domestic economic activity and the current slowdown in global economic growth. Headline inflation in March fell to 4 percent from 5.1 percent in February. The bank highlighted that risks from higher global fuel price on inflation and balance of payment are being closed monitored. Foreign reserves as at 25 April stood at USD 1,932.4 million, sufficient to cover 4.1 months of retained imports. The central bank reiterated that it will continue to closely monitor international and domestic developments and align monetary policy accordingly. Interest Rate in Fiji averaged 0.52 percent from 2010 until 2019, reaching an all time high of 2.50 percent in December of 2010 and a record low of 0.50 percent in January of 2011.
Interest Rate in Fiji is expected to be 0.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Fiji to stand at 1.00 in 12 months time. In the long-term, the Fiji Interest Rate is projected to trend around 1.50 percent in 2020, according to our econometric models.