Tourism Fiji chairman, Patrick Wong, says there has been a decline in arrival numbers and room occupancy levels.
He told the Fiji Times that January 2009 statistics show nearly 33 thousand visitor arrivals, a decline of 28 per cent from last January.
However, Mr Wong says he expected the worst to be over.
He says the first quarter of 2009 is likely to record a decline in arrivals of up to 25 per cent over 2008.
Mr Wong says occupancy levels are also soft throughout the region.