13 Nov 2009

IMF in talks with Fiji regime after 2009 setbacks

3:47 pm on 13 November 2009

A senior economist with the International Monetary Fund says the Fiji economy has experienced major shocks this year and working out how to help it cope is forming part of a current mission to the country.

The IMF, with the World Bank, is now conducting its regular economic surveillance under the agency's Article IV consultation process - something all member countries undergo.

Senior economist Rogelio Morales says the floods in January and the global economic crisis have challenged Fiji's economy this year.

"We are still in the process of identifying what would be the appropriate policy response in our view and we also need to hear from the government, what are their plans in that regard. So we expect to have a frank exchange of points of view at the end of the mission."

The World Bank has joined the IMF on the current mission to Fiji and a spokesperson in Sydney says the livelihood of the people of Fiji depends upon economic stability.

Fiji's 2010 budget is scheduled for the end of November and the IMF report is due out in January.