SUVA, June 25 (Xinhua) -- Retail businesses across Fiji are facing increasing pressure from rising operating costs, weakening consumer confidence and ongoing urban challenges, according to the Suva Retailers Association.
President of the association Jitesh Patel said that although the retail sector remains active, many businesses are struggling with lower customer foot traffic, staffing concerns and growing expenses.
He estimated that business confidence has declined by between 30 and 40 percent, largely due to productivity issues and poor staff attendance, which he said have become common concerns among employers, reported Fiji Broadcasting Corporation on Thursday.
Moreover, charges associated with electronic payment platforms, along with rising electricity costs and other operational expenses, are putting further pressure on already narrow profit margins, he added.
Patel also pointed to increasing freight costs and imported inflation as major contributors to higher prices for food and essential goods.
His comments came as Fiji's economic growth outlook has recently been revised downward amid rising fuel prices, inflationary pressures and geopolitical tensions affecting global markets. Businesses have also reported softer consumer spending as households contend with the increasing cost of living.
Patel warned that conditions are likely to remain challenging over the next six months, citing global uncertainty, inflation and weaker household spending as key risks facing the retail sector. He said retailers will need continued support and policy measures aimed at easing business costs to help sustain growth and employment. ■
