Fiji is an island nation in the South Pacific Ocean, east of Vanuatu, west of Tonga and south of Tuvalu. The country occupies an archipelago of about 322 islands, of which 106 are permanently inhabited; in addition, there are some 522 islets. The two major islands, Viti Levu and Vanua Levu, account for some 87% of the total population. The name Fiji is the old Tongan word for the islands, which is in turn derived from the Fijian name Viti.
Fiji, endowed with forest, mineral, and fish resources, is one of the most developed of the Pacific island economies, though still with a large subsistence sector. Fiji experienced a period of rapid growth in the 1960s and 70s but stagnated in the early 1980s. The coups of 1987 caused further contraction. Economic liberalisation in the years following the coup created a boom in the garment industry and a steady growth rate despite growing uncertainty of land tenure in the sugar industry. The expiration of leases for sugar cane farmers has led to a decline in sugar production despite a subsidised price. Subsidies for sugar have been provided by the EU and Fiji has been the second largest beneficiary after Mauritius.
