Analysis of Fiji’s Export and Its Impact on Economic Growth

Authors

  • Shivneil Kumar Raj Assistant Lecturer in Accounting at the University of Fiji
  • Priteshni Pratibha Chand The University of Fiji

DOI:

https://doi.org/10.18533/ijbsr.v7i4.1031

Keywords:

Economic growth, exports, GDP (Gross Domestic Product), imports, international trade

Abstract

Exports are vital for Fiji’s economy as it contributes significantly to its gross domestic product (GDP) and economic growth. The export data over the years show very slow growth and is gradually increasing. Fiji’s GDP data show that GDP is gradually increasing. Thus, Fiji’s economic growth is also increasing at a steady rate. This study aims to measure the relationship between exports and economic growth in Fiji. A regression analysis on data collected for Fiji from 2000-2015 shows that there is a strong positive relationship between exports and economic growth. Thus, when exports increase, economic growth also increases. Potential sectors that can be further developed to boost Fiji’s exports are sugar, garment, tourism and agriculture. The government should restrict imports through import quotas, tariffs and embargoes and give subsidies and tax incentives to potential export sectors to boost domestic production and increase exports. The government’s motive is to increase export incentives and promote Fiji made products both locally and overseas. Thus, this leads to an increase in exports, improves the trade balance and economic growth. This research article was undertaken to carry out research to investigate the link between Fiji’s export and economic growth and highlight ways and potential sectors to increase Fiji’s export and reduce imports.

Author Biographies

  • Shivneil Kumar Raj, Assistant Lecturer in Accounting at the University of Fiji
    Assistant Lecturer in Accounting and Finance at the University of Fiji
  • Priteshni Pratibha Chand, The University of Fiji

    The Department of Economics

    Assistant Lecturer

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Published

2017-05-03

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