Transcript
New Zealander Oskar de Jong and his partner saved for years to buy land in Fiji. But their dream turned to nightmare when amendments to the Land Sales Act were enacted shortly after they bought a plot on Koro Island at the end of 2014. Mr de Jong says they couldn't afford to meet the act's requirement for foreign owners of rural vacant land to build a 120,000 US dollar house by the end of this year.
"That's just money we just didn't have, don't have, so instead of starting to build or do something with the land we can't do anything we don't have the money to start building there and we can't rid of the land because nobody wants to buy it anymore under the current circumstances."
Mr de Jong says the past two years have been hugely stressful and its unfair the law change was imposed retrospectively. He says its virtually forced them to give up on their land and their plans for the future.
"We had it planned as a holiday home for now, we've got about 10 years more to work and we'd go there every year for our holidays and after that retire. So basically now we lost $50,000 of our retirement money so we don't have any alternative, we might have to stay working a little bit longer, and we won't have a retirement home to live in so all our plans in that respect are gone."
Mr de Jong currently lives in Australia and says a potential two year prison sentence for breaching the land laws means he will no longer be able to travel to Fiji. He says he plans to ignore the hefty fines that could also be imposed. Australian Robyn Matthews, who in 2013 also bought land on Koro Island, says her Fiji dream has also been shattered.
"To be able to build a house that would cost that amount of money would take all of our land and it would be a mansion that we don't want to live in. The locals live simply and we want to live simply as part of the community."
Ms Matthews says they put their lifesavings into the land are devastated to have lost everything. She too is angry the law has been applied retrospectively and says they no longer trust the government in Fiji. Other landowners spoken to by RNZ International speak of similar experiences, while the Fiji Landowners Association says thousands are affected and frightened by the legislation. For Ki-Maren Real Estate agent Aren Nunnink they're familiar stories. He says the Act has had a massive impact in the north of Fiji, where foreign land owners have been rushing to sell.
"Because they were afraid of getting these penalties, they were afraid of getting these penalties, well they've just said they might as well sell. But if you have a whole lot of people all selling at once, that's what drives down the prices. They are taking whatever they can get now. It's laughable in Taveuni estates where people are selling blocks of land for 10,000 Fiji dollars."
Aren Nunnink says some expatriates on Koro Island have virtually abandoned their properties because they have been unable to sell, while in other areas land has been sold at a significant loss. He says the departure of expatriates is hurting the local people and economy.
"The expats who are buying there and building there, they are generating a lot of work for local people in construction, in property maintenance and so on and that's all ended now. None of that investment is happening, none of that economic development is happening. All those people are just wanting to sell up and get out."
Aren Nunnink says property developments in the North had allowed locals to return home to work, but now those projects are stagnating people are drifting back to the squatter settlements of Suva. A New Zealand based Pacific and Indigenous Studies lecturer Alumita Durutalo also fears the land laws will cost Fiji jobs and foreign investment.
"You know it's destabilising, forcing them to build within two years it's rather going against everything that's in the economic world. That will affect the economy and also affect foreigners who want to come and invest not to invest."
The Fiji Government has yet to respond to RNZ International's request for comment on the land laws. But Fiji Australia Business Council President David Aidney says he understands a government committee is reviewing the legislation. He agrees though that the possible impact on landowners and Fiji's economy is concerning.
"Yeah that's got to be of concern, especially when you get legislation that moves the goalpost without too much warning, so if you get caught up in that that is of concern. But let's hope something comes out of the review."
David Aidney says he knows of several people who have been granted exemptions to the two-year time period for building a house. But landowners spoken to by RNZ International said the one-thousand dollar fee to apply for an extension was just another way for the Fiji government to get money out of them.