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An AIFFP loan and grant package is supporting the Republic of Fiji Government to upgrade road surface and bridges across several islands.

Restoring roads and bridges across Fiji The section of Queens Road near Veisari on Viti Levi received upgrades

Restoring roads and bridges across Fiji

Fiji

Approved

Type:
Transport and urban infrastructure
Investment:
AUD71.8 million

Delivery partners

Republic of Fiji Government
Fiji Roads Authority

We’re proud to partner with the Fiji Roads Authority, responsible for Fiji’s network of roads, bridges and jetties, to upgrade transport infrastructure across the island nation.

The project includes the renewal or resealing of more than 1.5 million square metres of road surface and the replacement of nine critical bridges. The bridges will have up to a 100-year design life, with the ability to withstand a one in 100-year rainfall event.

1,500 jobs created

by project completion

All 9 bridges

designed to withstand a 1-in-100-year rainfall event

In addition to major economic disruption as a result of the COVID-19 pandemic, Fiji has experienced three cyclones in the past two years which have caused hundreds of millions worth of damage to infrastructure and livelihoods.

Infrastructure that is climate resilient will help to ensure transport networks remain connected, improve safety and protect against increased travel time and costs.

Project stakeholders including Australia’s Acting Deputy High Commissioner to Fiji Sophie Temby (front row, fourth from left) attend the opening of Yaqara Bridge, May 2023

Project stakeholders including Australia’s Acting Deputy High Commissioner to Fiji Sophie Temby (front row, fourth from left) attend the opening of Yaqara Bridge, May 2023

The project’s road renewal contractors are all locally registered and employ a majority of local Fijian workers, with the works expected to create 1,500 jobs by project completion.

Our AUD71.8 million concessional, results-based financing package includes a grant of AUD14.7 million and a three-year grace period.

1.5 million

square metres of road surface

Community members attend the opening of Yaqara Bridge, May 2023

Community members attend the opening of Yaqara Bridge, May 2023

Project stakeholders including Australia’s Acting Deputy High Commissioner to Fiji Sophie Temby (second from left) attend the opening of Yaqara Bridge, May 2023

Project stakeholders including Australia’s Acting Deputy High Commissioner to Fiji Sophie Temby (second from left) attend the opening of Yaqara Bridge, May 2023

Project stakeholders including Australia’s Acting Deputy High Commissioner to Fiji Sophie Temby (front row, left) attend the opening of Yaqara Bridge, May 2023

Project stakeholders including Australia’s Acting Deputy High Commissioner to Fiji Sophie Temby (front row, left) attend the opening of Yaqara Bridge, May 2023

Community members attend the opening of Yaqara Bridge, May 2023

Community members attend the opening of Yaqara Bridge, May 2023

AIFFP contribution

AUD71.8 million

  Amount
(AUD million)
Amount
(USD million)
Variable interest rate Tenor
Loan $57.1 $40.0 SOFR + 0.93% 15 years (3 year grace period)
Grant $14.7 $10.3 n/a n/a

*Exchange rate: AUD/0.70USD, exact AUD amount depends on exchange rate at disbursement. SOFR is the Secured Overnight Financing Rate.

Impact

As Fiji faces the significant impacts of climate change, there is a critical need to ensure that its infrastructure is climate resilient to minimise potential disruptions. The rehabilitation and maintenance of the Fiji road network is vital to improve safety and protect against increased travel time and costs, as well as potential disconnection of communities due to bridge failures.

The project will also support the renewal or resealing of road surface throughout Fiji, as well as replacement of nine critical bridges to ensure that the road network remains connected, promoting economic activity and access to socioeconomic opportunities for local communities.

Climate data is integrated into all the bridge designs, which will have up to a 100-year design life, with the ability to withstand a one in 100-year rainfall event.

With its economy severely affected by the COVID-19 pandemic, the concessional financing package will provide the Republic of Fiji Government with increased flexibility to maximise its budget outcomes.

Road maintenance investments generate strong economic rates of return. Improved road infrastructure results in lower costs of transport and reduced travel times, which leads to lower costs for businesses, increased economic inflows, and greater access to markets.

Road maintenance is labour intensive and can be highly effective in encouraging local employment opportunities. AIFFP investments prioritise local workforce engagement, and all road renewal contractors are locally registered and employ a majority of local Fijian workers.

Latest updates:

  • Works have commenced (with the road renewals almost solely through local Fijian contractors), and are on-track and are expected to be completed by January 2025.