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One significant event marked Ratu Cakobau’s tenure as Governor-General. In March 1977, a constitutional crisis developed following a general election which gave a narrow majority to the Indo-Fijian dominated National Federation Party (NFP). Three days after the election, the NFP splintered in a leadership brawl, and Ratu Cakobau, acting as Fiji's effective Head of StateKings (1700s to 1874) # Nailatikau : ???? 1770 # Banuve : 1770 February 1803 # Naulivou : 21 February 1803 1829 # Tanoa Visawaqa : 1829 1832 # Navuaka Komainaqaranikula : 1832 1837 # Tanoa Visawaqa (Restored) : August 1837 1852 # Seru Epenisa Cakobau : 8, then called on the defeated Prime MinisterFiji received its independence in 1970. The post of Chief Minister, which had existed since 1966, was renamed Prime Minister. Ratu Sir Kamisese Mara: September 20, 1967 April 13, 1987 # Timoci Bavadra: April 13, 1987 May 14, 1987 # Ratu Sir Kamisese Mara:, Ratu Sir Kamisese MaraRatu Sir Kamisese Mara Order 1st Prime Minister of Fiji2nd President of Fiji Term of Office Prime Minister): September 22, 1967 April 13, 1987 December 5, 1987 June 2, 1992 (President): December 16, 1993 May 29, 2000 Followed Prime Minister): ( 1967): n., to form a new government, pending fresh electionsA general election to Fiji's House of Representatives was held in September 1977, to resolve the impasse of an earlier election that had been held in March. The National Federation Party, the narrow winner of the election, had failed to form a government, (which were held in September, and resulted in a landslide win for Mara's Alliance PartyFijian political parties The Fijian Alliance also known as the Alliance Party was the ruling political party in Fiji from 1966 to 1987. Founded in the early 1960s, its leader was Ratu Sir Kamisese Mara, the founding father of the modern Fijian nation.).

In a public statement, Ratu Cakobau defended his actions thus:

“In the recent general election, the people of Fiji did not give a clear mandate to either of the major political parties. It therefore became the duty of the Governor-General under the Constitution to appoint as Prime Minister the Member of the House of Representatives who appeared to him best able to command the support of the majority of the Members of the House. The Governor-General has not been able to act sooner as it was not until this afternoon that he was informed who had been elected leader of the National Federation Party. The Governor-General, after taking all relevant circumstances into account, has come to the firm conclusion that the person best able to command support of the majority of the Members is the Leader of the Alliance Party, Ratu Sir Kamisese Mara. In compliance with the Constitution and acting in his own deliberate judgment the Governor-General has accordingly appointed Ratu Sir Kamisese as Prime Minister.”

Although Cakobau's actions were unquestionably constitutional, they were controversial. Despite the disarray in the NFP, many people, especially in the Indo-Fijian community, were outraged at his role in usurping a popular election, in what many Indo-Fijians saw as a blatant move to protect the privileged position of his fellow FijianFijians are the major indigenous people of the Fiji Islands. They are indigenous to all parts of Fiji except the island of Rotuma. As of 2004, they constitute slightly more than half of the Fijian population. The great majority are Christian; around half chiefs, who dominated the Mara government.

Ratu Cakobau was decorated with many honours during his lifetime. Among these was Royal Victorian Chain , a rare and prestigious honour that may be held by no more than twenty-five living individuals throughout the world at any one time. Ratu Cakobau was awarded this honour as a sign of the special relationship between Fiji and the British Monarchy, following the visit of Queen Elizabeth II in 1982.

Ratu Cakobau retired from office in 1982, but as Fiji's traditional Paramount Chief, he remained influential until his death in 1989.