#header-inner img {margin: 0 auto !important; #header-inner {text-align: Center ;} Fiji Coupfourpointfive: Sada Reddy making political statements

Names and pseudonyms encouraged; annonymous posts accepted in interest of debate


Friday, July 24, 2009

Sada Reddy making political statements

The dictatorship regime appointed Governor of the Reserve Bank Sada Reddy has been behaving like the interim Minister for Finance and making statements that would normally be the role of the Finance Minister or Treasurer in a democracy.

In a press release issued today Reddy said the foreign reserves has reached $700 million compared to $441 million before the devaluation. But he fails to say how much imports the reserves will cover or for what period of time.

700 million dollars is equivalent to only 336 million US dollars. Currently one Fiji dollar is worth only 48 cents USD.

At the same time Reddy says Fiji's economy is not out of the woods. He says the impact of the global financial crisis is being felt in Fiji and will continue to do so for the next couple of years.

5 comments:

Anonymous said...

Yes Sada stop kidding yourself as world trade is done in US Dollars and the Fiji economy will not get any better as long as Voreqe and the Military Junta is there.

You should be ashamed of yourself, only living in Fiji to fill your pockets but ready to runaway to NZ when all hell breaks loose.

Anonymous said...

Seems like a very specifically targeted global crisis then - most other nations in the world expect to start recovering (albeit slowly) by the end of this year or early next year.

More significantly, other nations in the South Pacific aren't doing nearly as badly as Fiji. For example, nations like PNG, Samoa and Vanuatu are only having relatively mild downturns compared to last year.

Sada also singing out of tune with the major banks. CML looking at selling up, and ANZ talking about restrained commercial lending under the regime's new interest spread guidelines.

Anonymous said...

One swallow does not a summer make, and neither does an improvement in two economic indicators mean that Fiji is out of the economic doldrums, either.

Sada thinks that bank lending activity should be getting back on track with his liquidity and reserves data. But he forgets that the major factors in Fiji's tanking economy are the lack of business confidence due to Frank's complete unpredictability. Hard times and arbitrary sackings/wage cuts also responsible for drop in consumer confidence as well. Finally, there is also lack of legal confidence since Fiji does not have a Constitution, and even if we did, you could not be certain that IG would obey it.

Banks know this all too well, plus the fact that they all now have impaired balance sheets due to the fact that after the abrogation, they are now booking their large numbers of bad housing loans from the first coup, which they had deferred after Mahen asked them to "go easy" in anticipation of an economic recovery (which we are still waiting for).

So sorry Sada, still a long way to go for the kind of recovery you're trying to talk up.

Keep The Faith said...

Oh he's political all right. He even lauded Bainimarama's new roadmap (whatever that is), which is way, way out of line.

The Guji goss re: Sada the Ssssnake is that this guy amassed his wealth during the coup (not sure if it was 87 or 2000) using his position. Sada is the guy that many businessman would front up to, in order to siphon funds offshore to override the RBF currency exchange controls, for a "fee".

Keep your eye on this guy.

Anonymous said...

What I cannot understand is the multitude of press releases that are being put out by the Reserve Bank after mid April this year.

Most of these releases do not go into the reasoning behind predictions or statements made about some economic indicators.

They sound more like a justification of one's appointment, so to speak!