BY NED GAGAHE
The Solomon Islands’ domestic economy recorded mixed outcomes in April 2025, according to the latest Monthly Economic Bulletin released by the Central Bank of Solomon Islands (CBSI).
CBSI’s monthly production index dropped by 3 points to 103, largely due to sharp decline in agriculture cash crops. Palm oil production fell by 26% to 1,862 tons, while coconut oil plunged by 43% to 334 tons.
However, growth was noted in several other sectors. Forestry rose by 11 points, mining increased by 5 points and fishing edged up by 1 point.
Round log production surged by 41% to 104,854 cubic meters, gold output increased by 27% to 8,498 ounces, and fish catch rose 8% to 1,786 tons. Copra production climbed 41% to 409 tons, while cocoa output tripled to 187 tons.
The commodity price index rose 4 points to 105.5, reflecting strong gains in key export prices. Gold jumped 8% to US$3,218 per ounce, coconut oil rose 5% to US$2,483 per ton, and round logs increased 4% to US$207 per cubic meter. Timber prices rose 2% to US$717 per cubic meter and cocoa prices edged up 1% to US$8,150 per ton. Fish prices remained unchanged at US$1,649 per ton.
On the consumer side, the Consumer Price Index (CPI) fell to 127.1 points in March 2025, reflecting lower prices for vegetables, betel-nut, tobacco and non-alcoholic drinks. Headline inflation eased to 2.4%, down from 3.6% in February, driven by a drop in domestic inflation. Imported inflation slightly rose to 1.7%, while core inflation held steady at 0.9%.
Meanwhile, the CBSI Monthly Price Index rose to 116.4 points in April, up from 114.5 in March, driven by higher prices for rice, electricity, and betel-nut. A 40lb bag of Solrice now costs $155.25, electricity tariffs increased to $7.09 per kWh, and betel-nut rose to $1.88 per nut.
Fuel prices dropped to $10.08 per litre, while LP gas remained unchanged at $31.86 per kilogram.
Despite challenges in agriculture, sectors like forestry, mining and fishing showed resilience, supported by firm global commodity prices. The easing of inflation also brought some relief to local consumers.
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