SUVA (FBC News/Pacnews) —ANZ International Economist Kishti Sen believes Fiji can double its peak season arrivals to 1.2 million visitors by 2033 without compromising on its charm.
In ANZ’s latest research “Pacific Insight,” Sen said this equates to 8.1% growth in in-bound demand each year.
Sen said while this is higher than the 4.6% per year growth Fiji achieved over the decade to 2019, they believe this target is achievable and can become Fiji’s sustainable level of peak season annual demand.
Australia is Fiji’s main source of tourism.
Sen said of all Australian overseas travel in the decade before Covid, about 3% came to Fiji.
This proportion Sen said rose to 6.1% in 2022 when many of Australia’s favored holiday destinations were fully or partially closed, before easing to 3.9% in 2023.
Last year, saw the highest number of Australians on record visit Fiji.
During its peak season, Fiji welcomed a record 239,747 visitors from Australia, which is 33,634 more than the previous high of 206,113 in 2019, up 16.4%.
Sen said lifting its market share to 5% by 2033 will provide another 160,000 travelers from Australia, accounting for 32% of the growth target.
New Zealand, Fiji’s second major market also experienced strong growth post-Covid.
Sen said Fiji is already New Zealanders’ favored destination for a holiday, and there is scope to extract another 50,000 leisure travelers from that market.
Fiji Airways has added seat capacity by bringing in new aircraft and is banking on growing the airlift out of the U.S., Canada and Asian markets especially China.
Fiji Airways recently added Vancouver and Noumea as new destinations and plans to increase visibility and connectivity into Asia, the U.S. and Canada.
Passengers out of these markets account for 40% of new in-bound demand.
In addition, long-term migration of Fijians to New Zealand, Australia, the U.S. and Canada has created a significant Fijian diaspora and these numbers have grown recently.
Fijians living offshore often travel back home to visit friends and family.
So the “visiting friends and relatives” category is going to get larger.
Sen said as a hub for the South Pacific, Fiji frequently hosts international conferences, meetings and events. Climate change conventions, peak business council forums and sporting events feature throughout the year.
The segment, he added, is poised to grow strongly given the geopolitics of the region and greater integration of sporting competitions between Fiji, Australia, New Zealand and other Pacific island countries.
All in all, Sen said a doubling of peak-season demand by 2033 is within reach.
Once there, he said a figure of around two million visitors per year can become Fiji’s sustainable level of international tourism demand.
However, the ANZ Economist said Fiji will need to make investments in its airport infrastructure to manage higher demand.
