Professor Biman Prasad. Photo: RAMA
By ROSI DOVIVERATA
The evolving relationship of Fiji with PNG and other Melanesian Spearhead Group countries is going to boost our efforts to integrate further with Pacific Island economies.
In launching the United Nations Economic and Social Survey of Asia and the Pacific 2013, Professor Biman Prasad of the University of the South Pacific said that despite the expected slow-down in the next few years, PNG will remain a significant market for Fiji.
It would also be destination for Fijian companies to invest.
The recent announcement to set up a Trade Mission in PNG has set Fiji on the right track. Fiji is expected to benefit from the manufacturing and service industry as well as agriculture, textile and garment industries.
Relevance to the region
“The report is very relevant to the Pacific,” Professor Prasad said.
“Not only does it provide an assessment of the economic performance of the Pacific Island countries but it also provides recommendations for policies in the future. It provides an assessment of the current global economic crisis and its impact on the Pacific islands.”
“What the report says is that it is possible for governments in the Asia-Pacific region to realign and improve the quality of expenditure by refocusing their expenditure priorities and increasing expenditure on enhancing social policies to address the issue of unemployment, income inequality, health, education and providing universal access to modern energy services.”
Forward looking policies
He said the forward looking policies refer to the fact that countries in the Pacific by managing their revenues better, reducing wastage through corruption and mismanagement can improve the quantity and quality of spending on infrastructure, education, health and pension.
“The report points out that governments can afford to significantly improve the amount and quality of spending on social infrastructure to improve the quality of life of people in the Pacific.”
Addressing challenges and
constraints in Fiji
Professor Prasad added that many Pacific Island Countries including Fiji did adopt policies after the global economic crisis in 2008 to cushion its negative impact on the poor.
“Some of the provisions like school bus fare subsidy, contribution towards serious health treatments and pensions for the elderly are commendable policies in Fiji.
“However, in the future expenditure levels in some of these areas will have to be more focused and has to be provided on a sustainable basis. Fiji can do more to improve the quality of its expenditure and delivery of services to the public.”