22 Dec 2009

Fiji welcomes Standard and Poors outlook

10:03 am on 22 December 2009

The Governor of the Reserve Bank of Fiji has welcomed the revision of the outlook for Fiji from negative to stable by Standard and Poors.

Sada Reddy told Fiji Times online that this comes after the International Monetary Fund commended Fiji's authorities for decisive and timely action on monetary policy, and for keeping fiscal discipline despite the adverse global and domestic economic conditions.

He said the recent stable ratings by Standard and Poors reflected well on the stability of the financial conditions in Fiji.

IMF officials, in their visit last month, said they had not received a loan application from Fiji.

However, the head of the IMF delegation that was in Fiji, Ray Brooks, said the IMF was prepared to give Fiji a loan but would take into account the views of its shareholders.

But he also added Fiji's economy is small and it is vulnerable to shocks.