Deputy Prime Minister and Finance Minister Professor Biman Prasad

Over $1.3 billion in bank-approved loans remain untapped with inefficiencies in bureaucratic processes cited as a key reason for the delay.

The government has acknowledged these challenges and is taking active steps to address them.

Deputy Prime Minister and Finance Minister Professor Biman Prasad has pointed out that internal inefficiencies within government agencies play a substantial role in the slow pace of loan drawdowns.

These delays, he said are seen as a bottleneck that hinders the timely implementation of development projects and economic initiatives.

“There’s a huge issue, huge backlog of work permits, of approvals. You know, the environment ministry, the permanent, the new permanent secretary has done a remarkable job in clearing all the EIAs, you know, that were stuck, you know, previously. So, we are doing a lot of work in making sure that some of these regulatory obstacles, inefficiencies in the bureaucracy, but, you know, the opportunity cost.”

These stays, Prof Prasad believes leave funds intended for economic development and job creation sitting idle, impeding progress and economic growth.

Pointing out the role of civil servants in facilitating economic progress, Prof. Prasad reiterated the need for timely approvals, asserting that bureaucratic inefficiencies directly affect the livelihoods of Fijians.

To address these systemic challenges, he said the government has established a Fiscal Review Committee and an Investment Facilitation Committee.

Led by Deputy Prime Minister Manoa Kamikamica, Prof. Prasad said these initiatives have already achieved notable reforms, such as clearing longstanding backlogs in immigration processes and environmental impact assessments.

However, inefficiencies within government systems are not the only barriers to progress.

Prof Prasad stated that delays also stem from external factors including adverse weather conditions, the readiness of businesses to utilize funds and a persistent shortage of skilled labor.

Addressing this labor gap, he said, has become a key government priority.

To tackle the skills shortage, the Finance Minister said that the government has revamped its scholarship scheme to emphasize technical and skills-based education.

Investments are also being channeled into establishing new technical institutions to equip Fijians with essential skills.

However, Prof Prasad acknowledged that locally developing the necessary expertise will take time.

In the interim, he said Fiji was looking overseas to fill critical gaps in areas such as agriculture and technology, ensuring that immediate needs are met while the country builds its local workforce.

Prasad criticized the previous government for its neglect of technical education, which he said created a vacuum in the workforce that now hinders economic progress.

Rebuilding Fiji’s technical capacity, he said was essential not only for addressing immediate labor shortages but also for sustaining long-term economic growth.

Streamlining bureaucratic processes and creating a culture of efficiency within government remains a top priority.

By addressing inefficiencies, Prof Prasad added that the government is implementing structural reforms and leveraging external expertise to fill labor gaps.