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If Fiji's military regime does not do a "miraculous turnaround" and commit to elections soon then the economic consequences will be dire, Prime Minister John Key said.
Speaking to journalists in Beijing Key said that recent events in Fiji mean the country is being given a "passport to poverty" by its military ruler Commodore Frank Bainimarama.
The moves in recent days had taken democratic elections off the table for five years and that is unacceptable.
"The economic implications for Fiji will be dire if they don't have elections in that time I understand their economy is becoming more and more stressed by the day," Key said.
Fiji is becoming increasingly unstable, with the military today taking over the Reserve Bank in Suva and sacking Governor Savenaca Narbue.
Local media are being censored, papers are no longer covering political events and international media have been expelled.
The latest turmoil in Fiji was prompted by its Court of Appeal ruling last Thursday that Commodore Frank Bainimarama's regime, in power since staging a 2006 coup, was illegal under the country's 1997 constitution.
In response, the country's ailing 88-year-old president, Ratu Josefa Iloilo, sacked the judges, dissolved the constitution, ruled out any election for five years and briefly removed Bainimarama before re-appointing him as prime minister.
Key said he is very concerned.
"In some sense I think it was predictable, because I don't think Frank Bainimarama had ever shown a desire to restore democracy in Fiji," Key said.
The occupation of the Reserve Bank meant Fiji now also faced even further exchange risks.
"That is one of the serious issues that their economy is facing but not the only one. It is hard to see that there will be any inbound investment in Fiji, we know tourism numbers are falling... Frank Bainimarama is effectively delivering a passport to poverty."
The Pacific Forum had set a deadline of May 1 to set a timeline for elections or face expulsion and Key said this process would continue unless there is a massive turnaround by the regime.
Foreign Affairs Minister Murray McCully said anyone considering travelling there should think "long and hard" about it.
"Not because of anything we've seen so far except that we're now entering a realm of unpredictability in the behaviour of the administration there, and I wouldn't want anyone to think that it is a riskless exercise for them to go to Fiji," he said.
However, McCully all but ruled out imposing a travel ban on New Zealanders.
"I personally don't believe that we would want to go down that track. It makes us no better than the administration in Fiji," he said.
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Post new commentvaingloriouscoconut said on 2009-04-28 @ 23:37 NZDT: Report abusive post
Like a jedi knight said at the beginning of a certain movie, the whole crisis doesn't make sense. A phantom menace at work? Whoever stands to gain most from this charade are 'the Sith'. Alot of noble talk generating alot of thuggery. Judge by effects, and actions beloved Fijians - not by intentions and words. Time will reveal all.
UP2DATE said on 2009-04-28 @ 19:24 NZDT: Report abusive post
The UN is a joke. Sorry Fiji. The Commodore is a total dictator. Only the Fijian people can change this. It is time to stand up to this madness. Good luck.
Mark Manning said on 2009-04-23 @ 13:01 NZDT: Report abusive post
The Commander is hiding from allegations of and an investigation into , his and others , alleged involvement into the murders of 5 Counter Revolutionary Warfare Soldiers in 2000 . At that time of the civil unrest , some soldiers justified murder of these men by declaring them an act of war and thought that assertion would protect them from prosecution . However , one of those murdered , wasn't even in the vicinity of the camp at the time of the killings of the soldiers in the camp .
Udreudre said on 2009-04-18 @ 18:13 NZDT: Report abusive post
Bula Vinaka, just my comment on media. Actually the news now is much better. Before so much headache. Eg the move to get retirement age to 55. Oilei! If were in Fiji 2 months ago, you will know what I mean. As soon as the news was aired, 5 more related news: the unions, the politicians, close up show. Really very stressful. Our own version of Shortland Street was Fiji one news. Very entertaining but stressful. Even at night, we think, this and that, but now, no more. Only news not noise.
Udreudre said on 2009-04-18 @ 11:46 NZDT: Report abusive post
Actually, our beloved country can survive without aid money. we have land, sea, only thing is we get very relaxed. If we work hard and become independant, we will benefit. I am a landowner and personally if we dont get tourists, it will be good. They bring in their evilways. we have a population of 800,000, yet the tourist number is 600,000 per year!. They may be working as cleaners or maids but they come here and are treated like royalty. My children dont have to be slaves to the tourists.