2 Jul 2010

Revised Fiji budget curbs deficit

3:02 pm on 2 July 2010

The Fiji interim government has presented a budget aimed at curbing imports and at cutting the costs of the public service.

The interim finance minister, Commodore Frank Bainimarama, says the revised budget is necessary to look at government finances realistically.

According to Fiji media reports, he says the estimated net deficit is down to 218 million Fiji dollars, or 109 million US dollars, which amounts to 3.5 percent of the nominal GDP.

There will be tripling of the duty on imported vegetables while no tax will be levied for split peas, rice and tinned fish to assist low income earners.

Import duty for newer and smaller cars will be reduced as it will be for new buses.

It has also been announced that the Airport Departure Tax will be increased from 75 to 100 Fiji dollars.