Friday, 28 May 2010 11:07 AM

EU on Increased Grant to Solomon Islands

The European Union says Solomon Islands' qualification for extra funding of almost $160 million dollars reflects EU's increasing trust in its commitment to essential reforms.

The Charge d'affaires of the Solomon Islands EU delegation, Abdoul Aziz Mbaye, says the grant, which is intended to help bridge a budgetary gap caused by the global economic crisis, will be paid after the general election expected in August.

Dr Aziz Mbaye says Solomon Islands have had to meet strict criteria in order to qualify for budget support.

He says the money will be paid in one tranche when the election is completed and the new government is in place

Dr Aziz Mbaye confirms EU is committed to reform national development policies particularly stability-oriented macro-economic policies.

European Union Officials and the Solomon Islands government on Sunday signed the financial agreement of $160 million dollars.