The Government’s Constituency Development Programme has received increased budgetary support in this year’s national budget with an allocation of SB$342 million including a SB$90 million injection from the People’s Republic of China.
The PRC budgetary support is targeted towards establishing small businesses, mini infrastructures and creating employment opportunities in rural areas through the constituency development programme.
The Minister of Finance and Treasury Harry Kuma said Solomon Islands could not realize its development and growth potential if the 86 percent of the population who live in villages with poor access to transport, communication technologies, and other much-needed infrastructure services are not supported.
“It needs to be emphasized that increased rural development is central to the overall development of this nation. Ensuring quality infrastructure is important not only for faster economic growth, but also to ensure inclusive growth,” Kuma said.
He added that inclusive growth means that the majority of people, especially those in the rural communities must also share the benefits of growth.
The government strongly believes that inclusive growth will lead to the alleviation of poverty and reduction in income inequality in the country.
The Government has also allocated a total of SB$307.4 million in additional funding for development projects under the resources sector in the 2021 national budget.
Minister of Finance and Treasury, Harry Kuma said the budget would be geared towards funding development projects and activities to;
• Increase value added Industries and build a resilient economy,
• Push for an Innovative development model for Solomon Islands,
• Encourage strategic investment through Public Private Partnership,
• And to ensure maximum economic benefits of our resources,
With this support, the government promotes more value added industries and encourages investments that adds value from our resources.
“Despite the constraints imposed by the country’s smallness, dispersed mass, and remoteness, Solomon Islands has the economic potential to grow given its relatively large natural resource endowment. Generating growth with equity requires political will and stability, strong ethical leadership and sound resource and economic management,” Kuma said.
Consistent with the DCGA Policy Redirection programme, budget allocations towards the resource sectors has been increased in 2021 with SB$10.6 million for the Forestry Sector and SB$6 million for Environment related programmes.
The Ministry of Mines, Energy and Rural Electrification has been allocated SB$11.8 this year.
Source: GCU Media Release