The Reserve Bank of Fiji stresses that there is no need to devalue the Fiji dollar as measures being taken by the bank and the interim government are working to turn the country around.

After the RBF's various monetary policies came under fire in a public forum earlier this week, RBF Governor Savenaca Narube said in the current circumstances, they are comfortable with the mix of policies introduced since December with positive outcomes in various sectors.

Narube said the firm action taken by the interim government to stabilize government finances by fixing the budget deficit to 2 percent of GDP, exercising strict controls on operating expenditure, diverting more resources for capital expenditure and introducing reforms in the civil service, are greatly supporting the bank's monetary policy.

He revealed that imports have slowed down significantly after growing at a rate of 20 percent per annum, decreasing by 5 percent and is expected to drop further in the months ahead.

Narube also said that private sector credit which was growing at around 25 to 30 percent per year has slowed to below 15 percent and will decrease further.

The RFB said foreign reserves are also stabilizing and there has been no evidence of the capital flight as was the case in the 1987 crisis and there is no need to devalue the Fiji dollar.