Moody’s maintains negative outlook for Fiji’s B1 rating

Singapore, May 12, 2011 — Moody’s Investors Service says that it is
maintaining its negative outlook for Fiji’s B1 rating as poor growth
prospects continue to weigh on government finances.

Moody’s annual sovereign report on Fiji provides an updated analysis on
the rating and does not constitute a rating action.

The report notes that Fiji’s B1 foreign currency and local currency
ratings were derived from a methodological assessment of low economic
resilience and low financial robustness.

The country’s small size and lack of diversification have lessened its
resilience to shocks, as evidenced by weak growth for much of the past
decade. The outlook for growth is further hampered by the dearth of
investment spending.