Recovery of loan unclear - FNPF, Fiji Development Bank, Banaban Trust Fund investment invoved

[Stacey King]

Thursday, April 09, 2009
Fiji Broadcasting Corporation- Fiji Boadcasting Corp. Ltd

It’s not very clear at this stage on how and when the Fiji National Provident Fund will recover a substantial amount of loan, which had been given out to the Momi Bay Resort project few years ago for hotel development. A member of the FNPF Board and national president of the FTUC Daniel Urai says the Momi Bay Resort project has been abandoned by the contractors, and the project is lying idle.

Urai says the FNPF together with the Fiji Development Bank, the Banaban Trust and a few others, has pumped a lot of money into the project as loan, to reap benefits from it.
According to Urai however, the FNPF has a lot of ways to recover the money and there’s nothing to worry about as far as members of the FNPF are concerned. Urai says one way to recover the money is to sell off the project by engaging a buyer who will be able to pay what FNPF is owed.

Meanwhile Urai says there has been lot of interest already shown by overseas investors in the project and the returns they could receive.