Fiji, Oct. 19 -- Kiribati's economic growth is expected to slow to 3 percent this year, down from 4.3 percent in 2025, as high operating costs, global uncertainty and pressure on state-owned enterprises weigh on the economy, according to the International Monetary Fund (IMF).

Following a staff visit published on 16 October, the IMF said Kiribati had remained resilient despite a challenging external environment, but warned that fiscal pressures and exposure to global financial markets posed risks to the country's economic outlook.

Growth in 2026 is expected to be supported by public spending and construction, although businesses continue to face high operating costs and shortages of skilled workers.

Inflation has eased significantly, wi...