Summary of the Motion
- Mister Speaker Sir, I rise to contribute to the debate on the motion before this Honorable House regarding the Government’s guarantee of the Fiji Development Bank for a twelve-month period, beginning 1 March 2026 and ending on 28 February 2027.
Introduction – Strategic Role of the Fiji Development Bank
- Mister Speaker Sir, the Fiji Development Bank (FDB) has long served as a strategic partner in Fiji’s national development architecture. As a development finance institution, the Bank plays a critical role in bridging the gap between commercial finance and the needs of sectors and communities that require targeted support to grow and prosper.
- The Bank’s mandate extends beyond conventional banking. It is fundamentally about empowering communities, enabling entrepreneurship, and catalysing sustainable economic transformation, particularly in sectors where access to credit remains constrained.
- Through its development-oriented financing and advisory services, the Bank continues to support farmers, small business owners, cooperatives, rural entrepreneurs, and emerging industries—helping to transform ideas into viable economic opportunities and improving livelihoods across our provinces.
Alignment with National Development Priorities
- This work is intricately woven within the Bank’s 2024-2028 Strategic Plan. It’s core theme – “to remain sustainable in serving our customers while adapting to changes in our environment” – is a key reflection of its commitment to resilience and its proactive approach to supporting Fiji’s evolving economic landscape.
- Importantly, the Bank’s strategic direction aligns closely with the priorities of Fiji’s National Development Plan and Vision 2050, particularly in advancing inclusive growth, strengthening rural development, and expanding opportunities for micro, small and medium enterprises.
- By focusing its investments in productive sectors such as agriculture, MSMEs, and emerging value chains, the Bank plays a vital role in supporting diversification of the economy while strengthening resilience within communities.
- Mister Speaker Sir, in order to diversify its revenue base, the Bank has formulated necessary action plans to ensure that it maximises both traditional and non-traditional revenue sources[1]. This reinforces its stance on fiscal responsibility and innovation, demonstrating that the Bank is not solely dependent on Government support and backing but is actively seeking to enhance its own financial self-sufficiency.
Growth and Sustainability
- Mister Speaker Sir, in its 2024 Annual Report, the number of active accounts served by the Bank grew by 3.66 percent, bringing the total to over 9,700 accounts across Fiji[2]. What is particularly encouraging is the Bank’s growing reach among historically underrepresented groups. Women now represent approximately 30 percent of the Bank’s portfolio, while youth account for 17 percent.
- These figures demonstrate the Bank’s commitment to financial inclusion and economic empowerment. By expanding access to capital for women, youth and rural entrepreneurs, the Bank is strengthening participation in the national economy and fostering a more inclusive development pathway.
- Access to finance should not be a privilege reserved for a few. Through its targeted lending programmes, the Fiji Development Bank is helping ensure that credit becomes a powerful instrument for opportunity, enterprise and community transformation.
Strengthening Financial Sustainability
- Mr Speaker Sir, it is equally important to note that the Bank continues to pursue strategies that strengthen its own financial sustainability.
- Through diversification of revenue streams and prudent financial management, the Bank is working to maximise both traditional and non-traditional sources of income. These efforts reinforce the Bank’s commitment to fiscal discipline, innovation and long-term institutional resilience.
- Such strategic positioning ensures that the Bank remains a credible and sustainable development partner, capable of supporting Fiji’s economic priorities in a dynamic global environment.
Importance of the Government Guarantee
- Mr Speaker Sir, the Government guarantee under consideration today plays an important enabling role in supporting the Bank’s mandate.
- This guarantee allows the Fiji Development Bank to secure financing at competitive and lower-cost funding rates, which in turn enables the Bank to extend affordable credit to sectors and communities that require developmental support.
- In essence, this guarantee is not simply a financial mechanism—it is a strategic investment in national development, ensuring that the Bank has the financial capacity to continue empowering businesses, strengthening rural economies and supporting inclusive growth.
- By standing behind this institution, Government is reaffirming its commitment to sustainable development, economic resilience and the empowerment of communities across Fiji.
- We are ensuring that the Fiji Development Bank remains a beacon of hope for our local entrepreneurs and a powerhouse for our national industries. This partnership is crucial to unlocking the full potential of our private sector and bridging the financial gap for those who most need it.
Closing Remarks
- Mister Speaker Sir, the Fiji Development Bank remains a vital catalyst for growth, a trusted partner for entrepreneurs, and a key contributor to our broader development agenda.
- I also take this opportunity to acknowledge the Board of Directors, Senior Management and staff, for their continued dedication to maintaining strong governance, operational efficiency and prudent financial management.
- Their efforts ensure that the institution continues to operate with integrity while delivering meaningful development impact for the people of Fiji.
- Mister Speaker Sir, with those remarks, I support the motion before this esteemed August House, for Government to guarantee the Fiji Development Bank for the period 1 March 2026 to 28 February 2027.
- Thank you, Mister Speaker Sir.
