Australian High Commissioner to Fiji, Ewen McDonald, signed an agreement for budget support of $72 million with Deputy Prime Minister Professor Biman Prasad at Ro Lalabalavu House.
The Deputy Prime Minister says this additional budget support financing is contingent upon Government achieving a mutually agreed set of reform actions in the areas of public finance management and reforms to support resilient and inclusive economic growth.
He says they are pleased that they are undertaking these key reforms, which is contributing to more effective and accountable public finance financial management, contributing to economic reforms and enhancing our social and climate resilience.
Professor Prasad says they believe that sustainable economic growth and well-functioning public financial management systems are essential for stability, prosperity and providing services to vulnerable groups.
He adds budget support (policy based operations) has become a key modality for accessing grant funding support from development partners and concessional loan funding from multilateral institutions.
The Deputy Prime Minister says over the last six years, Fiji has accessed close to $3 billion in blended financing from development partners in the form of concessional loans and grants and this has supported Government to undertake comprehensive reforms towards improving Fiji’s governance and management of public finances, enhance the policy, legal and institutional framework for state owned enterprises and Government agencies, improve trade and public investments and promote private sector-led growth.
