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Fiji’s international investment position

The Net International Investment Position (NIIP) is regarded as a nation’s balance sheet since it includes overseas assets and liabilities held by the government of an economy. As at September
27 Feb 2016 19:46
Fiji’s international investment position
Graphs 1 shows the direct and portfolio investments from 2013 to September quarter 2015.

The Net International Investment Position (NIIP) is regarded as a nation’s balance sheet since it includes overseas assets and liabilities held by the government of an economy.

As at September 30, 2015, the NIIP stood at -$7,416.0 million compared to -$6,485.9 million a year earlier.

This reflects that there is more foreign investment into Fiji compared to Fiji’s investment abroad meaning Fiji is a debtor nation.

The United States of America is the largest debtor nation while Japan is the largest creditor nation, however, being a debtor or a creditor nation does not have any significance on whether an economy is financially stable or not.

 

Net Foreign Debt

Net foreign debt is foreign debt assets less foreign debt liabilities.

Fiji’s net foreign debt stood at -$98.5 million for the September quarter of 2015 and a year earlier it was recorded at -$21.8 million.

The change reflects an increase in net foreign debt influenced by an increase in Loans.  Further details are presented in the Table.

 

Net Foreign Equity

Net foreign equity reflects the total value of Fijian assets in foreign ownership less total value of overseas assets owned by Fijians.

As at September 30, 2015, Fiji’s net foreign equity (shares) was -$7,319.6 million compared to -$6,466.1 million a year earlier.

The change reflects an increase in net foreign equity influenced by increase in liabilities (foreign investment in Fiji).

This is an informative publication, sponsored by The Fiji Sun, Fiji Bureau of Statistics and HFC Bank. All views expressed or implied are purely of the Treasurer at the HFC Bank, Peter Fuata.

 

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