Businesses lack confidence

[posted 18 Sept 2009, 1400]

Businesses in the North simply do not have confidence in the policies of the regime. They are hesitant to invest saying there is a sharp downturn and the money is simply not there on which businesses can build.

“People are not spending as they used to because they do not have the money. We are facing severe contraction. Devaluation of the Fiji dollar hit us hard. We lost badly,” said a major supermarket owner.

“Banks are very tight on lending. All our suppliers want money up-front. It is a real struggle,” according to an automotive parts dealer.

Some 45 small businesses have folded up in the last 18 months with amany more on the verge of collapse, a survey by a USP student has revealed.

A businessman said that in recent months the business community had observed a resurgence of official corruption. “We are worried about our future here because of a sharp decline in sugar cane production. There will be less and less economic activity and businesses will suffer as a result,” he said.