SUVA, March 31 (Xinhua) -- Fijian Minister for Finance, Commerce and Business Development Esrom Immanuel has warned that Fiji will begin to feel the impact of rising global prices within the next two to three months as tensions linked to the Middle East intensify.

Fiji is not insulated from global shocks, noting that while the economy recovered strongly after the COVID-19 pandemic, it now faces renewed pressure, he told local media on Tuesday.

Globally, economic conditions have remained fragile since 2023, with ongoing geopolitical tensions, including the conflict involving Iran, adding further uncertainty, he noted.

Immanuel cautioned that the 2026-2027 financial year will be more challenging, as rising fuel prices are expected to drive up the cost of transport, business operations and public services.

To prepare, the government has set up a fuel committee and a cabinet subcommittee to assess supply risks and price impacts.

Permanent Secretary for Finance Shiri Gounder said any government support during the crisis will be targeted toward low-income households, as resources will not stretch far enough to assist everyone.

He also warned that the current situation is unprecedented, with real concerns emerging over both fuel price volatility and the risk of supply shortages.

Both officials highlighted a growing concern that global instability, particularly in energy markets, could soon translate into higher living costs and potential fuel constraints in Fiji.