By Loretta B Manele
The country’s financial sector is going through various reviews of legislation.
This follows GNUT Policy 8.1.4b that supports the financial sector reforms to promote a modern and resilient financial system that supports economic growth.
Manasseh Sogavare, the minister of Finance and Treasury (MoFT) made the statement when handing down the 2025 Appropriation Bill 2024 in parliament last week.
In relation to the above statement, he said this includes the review of the Financial Institution Act, Insurance Act and developing regulations to create and enable the environment to support the development and expansion of financial services.
Sogavare added that the review of the National Procurement Fund Act is also needed to improve the legislative framework for the operation and prudential regulation of the fund.
He said members should have confidence that their savings are being invested in a prudent manner to ensure that the fund is working in the best interest of its members.
Sogavare stated that progressing the Solomon Islands National Procurement Fund Bill is one of GNUT government’s strategic actions to expand resource access to finance and underpin economic growth in Solomon Islands.
“The government acknowledges that the country also faces many development and growth constraints.”
Sogavare stressed that these constraints range from lack of access to financial services, lack of competition in key areas, shortage of needed skills, access to land, lack of quality infrastructure, weak infrastructure, poor governance, lack of employment opportunities and high costs of doing business in Solomon Islands.
He said the government aims to address the ongoing development constraints through embarking on both structural and institutional reforms across the government.
These structural and institutional reforms include tax reforms, land reforms, foreign investment and tax strategy reforms to address the high cost of utilities, improving good governance and developing robust legislation and policies to drive investment and growth.
Sogavare added that to achieve this objective, the government encourages strong, collaborative and co-ordination amongst all ministries in terms of planning and implementation of the 2025 budget ensuring that key sectors establish working relationships to address cost-cutting needs through cost-sharing and arrangements to fast-track implementation of key government priorities.
“In advancing the better partnership and fruitful relations we continue to enjoy; the government will also work very closely with our development partners during the course of implementing the 2025 investment priorities.”
