Fiji Airways (FJ, Nadi) is implementing a series of cost-saving measures after recording FJD150 million Fijian dollars (USD66.4 million) in additional fuel costs during the second quarter of 2026 compared with the same period in 2025.
According to a report from local outlet FBC News, managing director and chief executive, Paul Scurrah, attributed the increase to inflation, supply chain disruptions, and volatile fuel prices.
The airline has introduced fuel-saving flight planning, revised onboard catering cost structures, and transitioned parts of its ground fleet to electric and hybrid vehicles. It has also reduced executive and crew per diems, deferred non-urgent capital expenditure, tightened hiring controls, and expanded cross-functional staffing.
The Fijian government is separately discussing further efficiency measures with the airline's board and management after providing a FJD200 million (USD88.5 million) state loan guarantee and introducing a 5% tourism tax to support the carrier.
Shiri Gounder, finance ministry permanent secretary, said the discussions include optimising Fiji Airways' flight routes and frequencies. They also include reviewing the airline's investment in the Sofitel Fiji Resort & Spa and reassessing its resort check-in model.
Gounder said the government must balance support for Fiji's tourism industry with ensuring the national airline remains financially viable.
