Reduce VAT, says Chaudhry
“The cost of living is the main thing. That is what people want to come down on,” he said.
Friday 30 May 2025 | 15:36
Updated 08 August 2025 | 15:39 FJT
Mahendra Chaudhry paying respect to the monument of the Girmitiyas at Toko Sanatam Primary School. Photo: Mereleki Nai
All the people want, is the cost of living to come down, says Fiji Labour Party leader Mahendra Chaudhry.
Mr Chaudhry said he has made it clear that Value-Added Tax (VAT) needs to be reduced.
“The cost of living is the main thing. That is what people want to come down on,” he said yesterday.
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“We have made it very clear that until VAT is reduced, until VAT is brought back to 10 per cent, the rest is all useless talk,” he said.
“VAT has to come down to make the cost of living go down, and if that happens, there will be a ripple effect throughout the economy. A lot of other good things will happen.”
He said businesses have also weighed been down by this high VAT.
“They are also weighed down by the increase in the corporate tax and of course, the minimum wage. All three came at the same time. So that has affected the business community very seriously,” he said.
“That has also pushed up the cost of living because when you put an increase threefold increase on businesses, they will naturally pass it on to the consumers. That is the effect of the increases which they put through in the budget in 2023. And unless these are reversed, nothing much will happen.
“We hope that happens.”
The former Prime Minister said a lot of false promises have been made by the current Coalition government.
“I also believe that social welfare benefits were cut back. The age increased from 60 to 65. Bus fare entitlements were reduced. So, all these must go back to where they were because the promise was that we are going to improve welfare benefits.”
“That hasn’t happened. There are a lot of complaints about school bus fares now, they are not being topped up at the right time. People are suffering as a result of the ticketing.
“They are unable to access the free bus fare scheme. So, there are a lot of things which were promised, they haven’t done and that need to be done.”
He said most importantly, governance needs to improve.
“Unless accountability and transparency improve, nothing is going to happen. That is the most important thing: how you govern your government. Are you transparent? Are you accountable to the people?”
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