The Global Financial Crisis is affecting every country in the world. Solomon Islands is not immune to the impacts of this crisis and faces similar economic challenges to those confronting all countries in the world.
Minister of Finance, the Hon. Snyder Rini, and Minister of Planning, Hon. Steve Abana, yesterday met with the diplomatic and donor community to brief them on the country's economic situation and fiscal outlook.The Minister of Finance highlighted the immediate steps taken by Government to address the situation, including administrative measures on spending, prioritization of capital projects, and close monitoring of revenue and cash flow.
The Ministry is now in the process of developing a comprehensive strategy for dealing with the situation. It is anticipated that the strategy will be submitted to cabinet soon.
Mr. Rini also discussed initiatives to help secure medium-term growth and create jobs.
During the meeting, the Minister of Finance discussed the medium-term economic outlook and potential sources of income for the country in the wake of declining logging revenues, now accelerated by the Global Financial Crisis. These medium-term prospects include: mining, plantation agriculture, tourism, palm oil, plantation forestry and fisheries.
The Minister of Finance requested understanding and support from the international community to help Solomon Islands confront these short-term economic challenges and work alongside the Solomon Islands government in developing the medium-term growth potential of the country.
"The world today is suffering from a financial crisis," said Mr. Rini. "The Solomon Islands government is working to minimize its impacts on the country in the coming years and ensure medium-term economic growth for the country."
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