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Build fiscal buffers to strengthen economic resilience: World Bank

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BY BEN BILUA

WORLD Bank says countries in the Pacific including Solomon Islands must strengthen their economic resilience by building fiscal buffers to better withstand growing global shocks.

Speaking on the current state of the global economy, Ekaterine Vashakmadze, World Bank’s senior economist for East Asia and the Pacific region, said heightened policy uncertainty is significantly impacting economic confidence and trade outlooks worldwide.

“The global economy is facing significant challenges driven by heightened policy uncertainty.

“In early 2025, global economic policy uncertainty surged, further weighing on investor confidence and global trade,” she said.

Vashakmadze noted that the Pacific region is particularly vulnerable and is projected to experience a sharper economic slowdown than previously forecast.

She attributed the economic shock to global pressures and the diminishing effects of post-pandemic recovery efforts.

Vashakmadze emphasised the need for Pacific nations to prioritize structural reforms and resilience-building strategies.

“To stay on course toward development goals, Pacific countries could benefit from reinforcing resilience and accelerating structural reforms to unlock untapped workforce potential,” she said.

Vashakmadze highlighted that a robust private sector is essential for driving productivity and long-term growth in the region.

“One approach that would help countries become economically resilient is to support the private sector to increase productivity.

“A strong private sector will definitely lead to a productive economy,” she said.

The World Bank’s call comes amid growing concerns that small island economies, such as Solomon Islands, may struggle to respond effectively to external shocks without stronger fiscal safeguards and more diversified economic strategies.

Vashakmadze’s remarks serve as a timely reminder for policymakers across the Pacific to focus on sustainable economic reforms that not only address immediate challenges but also lay the foundation for long-term resilience.

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SAFE IN DEBT

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World Bank report shows Solomon Islands in the green zone, the only country in the Pacific not at high risk of debt distress

BEN BILUA

Solomon Islands’ debt is in the green zone, meaning our debts are not burdening our economy.

The World Bank Fiscal Outcomes and Public Debt report shows Solomon Islands is bouncing back with a low debt distress record.

The report shows Solomon Islands gradually improving its public debt since 2023 and recorded an all-time-low debt in 2024.

The report shows five countries in the pacific that remain at a high risk of debt distress.

Speaking during World Bank’s Pacific Economic Update yesterday, World Bank country economist Lodewijk Smets said World Bank and IMF analyse countries’ debt levels and projection to determine the average debt and whether the debt levels are sustainable.

He said Solomon Islands is the first and only country in the Pacific with low risk.

Smets added that Solomon Islands is sustainably managing its debt so there is an opportunity to make investments.

“Aid dependency is high in the pacific and it is important to focus on aid effectiveness.

“Paris Declaration on aid effectiveness is an important document that establishes certain principles how to deliver aid and make sure aid dollar is well spent.

“Countries need to own aid programmes, focus on results and harmonise aid investments.

“This is the opportunity to address your development challenges,” he said.

Smets said it is important that Solomon Islands sustains its debts as the situation can fluctuate and change the debt level.

On the other hand, World Bank’s Senior Economist, Ekaterine Vashakmadze said having a huge aid programme is good if its effective and contribute to potential growth.

She strongly emphasised that grant and aid deliver result.

“Bottom line is transparency and accountability,” Vashakmadze said.

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What happened to the ESP report?

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BY BEN BILUA

Eight months have passed since the Auditor General’s Office released the Economic Stimulus Package Report and still no arrests have been made in connection to the controversial and widely criticized funding.

It is obvious that authorities have failed to take significant action against those responsible despite clear evidence pointing to the involvement of multiple institutions and individuals.

The lack of accountability has left many questioning the integrity of the process and the effectiveness of the ongoing investigations.

According to Section 7.2 of the ESP Auditor General’s Report, the mismanagement of the ESP Fund involved numerous committees and individuals who were tasked with overseeing the allocation of funds.

The report outlined that the ESP Oversight Committee, a body set up by the cabinet to manage the fund’s implementation, was chaired by prominent figure within the Ministry of Finance – a clear directive to kick off the investigation.

Other key figures include Officer within the Prime Minister’s Office, Officer at the Ministry of Commerce, Industry, Labour and Immigration as well as the Cabinet Office.

The report named title holders who should be questioned about the allegations of financial mismanagement, fraud and other irregularities as stated in the report but it is saddening to see the Royal Solomon Islands Police Force remain silent about the issue.

Among the most troubling revelations in the report is the fact that government officers allegedly signed off substantial cash cheques some exceeding $1 million for beneficiaries without any documentary evidence confirming that these beneficiaries actually received the funds.

Critics argue that the failure to take action is not just a failure of law enforcement but a systemic issue involving multiple layers within government.  

It remains to be seen whether the police will take meaningful steps toward holding those responsible for the mismanagement of the ESP Fund accountable or the public will wait for answers and for justice that will never be served.

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‘To feed our dogs’ – company responds to viral video

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BY NED GAGAHE

Responding to public backlash, Nice 1 Company has clarified that the viral video of its employees’ repacking rice was misleading and recorded by a woman from a nearby residence.

In a Facebook post the company revealed that a female took the video from a distance in a house next to where the incident happened.

“The truth is, the container was wet, so we reported it to the “health” authorities and informed them that the rice inside was damaged and would not be sold.

“We use it as feed for our dogs — we have around 10 of them. Unfortunately, a female recorded the video and shared it to damage our reputation.

We would never sell rice in that condition to the public — absolutely not.

This rice was only intended for our dogs. Health officials inspected the container before the video was taken and after the video went viral, they returned for a follow-up inspection. This situation has been very upsetting for us.”

According to YUMITOKTOK FORUM the video was taken at the Nice 1 Company premises, located at Rove behind the Gaoming building.

YTTF also calls on health authorities from the Honiara City Council (HCC), Royal Solomon Islands Police Force (RSIPF) and the Ministry of Health and Medical Services (MHMS) to immediately investigate the incident.

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Regional judicial symposium to be held in Honiara

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BY NED GAGAHE

A three-day Regional Judicial Symposium will commence tomorrow, Wednesday, 18 June 2025, at the Pacific Islands Forum Fisheries Agency (FFA) Conference Room in Honiara.

According to a statement from the FFA, the Judicial Symposium 2025 is a co-hosted event between the FFA and the Chief Justice of the Solomon Islands, Sir Albert R. Palmer, CBE. The symposium will run from 18 to 20 June 2025 under the theme, “Recent Developments in International Fisheries Law.”

The key guest at the event is Judge Kathy-Ann Brown, a judge of the International Tribunal for the Law of the Sea (ITLOS).

  • Regional Chief Justices expected to attend include:
  • Chief Justice Sir Albert R. Palmer, Chief Justice of Solomon Islands
  • Chief Justice Tetiro Mate, Chief Justice of Kiribati
  • Chief Justice Daniel N. Cadra, Chief Justice of the Marshall Islands
  • Chief Justice Sir Gibuma Gibbs Salika, Chief Justice of Papua New Guinea
  • Chief Justice Satiu Simativa Perese, Chief Justice of Samoa
  • Chief Justice Sir John Baptist Muria, Acting Chief Justice of Tuvalu

The symposium aims to strengthen awareness of recent developments in international fisheries law at the national, regional and international levels.

To support the participants, who include Chief Justices and other judges from the High Courts or Supreme Courts of FFA member countries, the FFA has invited prominent international lawyers and fisheries specialists.

The opening ceremony will feature opening remarks by Chief Justice Sir Albert R. Palmer, CBE and a welcome address by FFA Director-General Noan Pakop.

Background Information:

The FFA has previously organized this regional meeting for the judiciary on a biennial basis, focusing on themes related to the fisheries sector.

The last Forum Fisheries Agency and Solomon Islands Chief Justice Sir Albert R. Palmer co-hosted Judicial Symposium was held in August 2019 in Honiara.

The event brings together regional Chief Justices, Puisne Judges and international judges and legal experts who serve as resource persons delivering sessions aligned with the symposium’s themes.

In 2019, the focus was on state, organizational and individual accountability under the United Nations Convention on the Law of the Sea (UNCLOS), with particular attention to Illegal, Unreported and Unregulated (IUU) fishing and flag/coastal state obligations.

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20-yo pleads not guilty to assault

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BY ROMINAH FAKA

A 20-year-old male person has pleaded not guilty to assault charges stemming from an incident that occurred at Feraladoa area in April this year.

Following the plea yesterday, the counsels sought adjournment to finalize the Pre-Trial-Conference (PTC) documents.

Court adjourned the matter to June 30 for PTC.

The defendant Ben Kurumusi is facing one count of assault causing actual bodily harm.

Police allege that on April 1, 2025, the complainant was at his stepfather’s house in the Feraladoa area.

After consuming a few beers, he allegedly decided to go to Talise Market to buy cigarettes.

On his way to the market, two individuals approached and assaulted him, alleging that he had climbed into their house.

The two individuals then kicked the complainant and when he fell to the ground, they continued to assault him by kicking his mouth and face, which the complainant later, sustain injuries and his face was swollen with bruises.

He later ran to his uncle’s market stall for safety.

It is further alleged that when the uncle tried to resolve the issue and asked what had happened, the defendant, Ben who had followed the two individuals and appeared drunk, took a large rock and threw it at the complainant twice, striking him on his chest.

The complainant’s uncle told them to leave, whilst the complainant stayed at his uncle’s market stall until 4am, after his uncle walked him back to his house.

The complainant later reported the matter to the police, and the defendant, Ben, was arrested on April 9 and charged.

Police Prosecutor Smith Abuo is prosecuting and PSO lawyer act for Ben.

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Maromaro arson case further adjourned

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BY ROMINAH FAKA

The Pre-Trial Conference (PTC) for the case involving the burning of a staff house at Maromaro has been further adjourned to June 23.

On Wednesday last week, the defence counsel requested additional time to review a two-statement report emailed to him by the prosecution from the staff of Solomon Power, in relation to the issue of the possible causes of the fire whether it was result of an electrical fault or reckless actions of the accused.  

The prosecution counsel currently handling the matter is engaged in a court circuit at Lata and has also sought a two-week adjournment. The PTC document is yet to be finalized and signed by both counsels.

Defendant David Tepala, 35, is charged with one count of arson contrary to section 319 (a) of the Penal Code which carries a life imprisonment penalty. He pleaded not guilty to the charge.

The complainant in this matter is a native from China, 34-year-old and the manager of CF- Aluminum & FOAM located at Ranadi area, East Honiara.

He also the owner of the Rainbow company.

The defendant Tepala, 35 was the employee of Rainbow company who worked for four years as mechanic and resided in the company compound with his wife.

Prosecution alleged that on the 30 of March 2025 sometimes between 6pm and 7pm. The complainant was at his resident at Ranadi when he received a call from his employee.

He stated to him that he needs to call the Police as the defendant had burnt a house accommodating company staffs at Maromaro area.

It was further alleged that, the complainant drove down to Maromaro area, his workshop compound. There he called the fire service and at around 8: 26pm, the police fire service attended to the scene and managed to control the fire.

The defendant was then identified and located at the scene and was escorted to Naha Police Station by the complainant’s group.

The defendant was formally arrested and placed in custody awaiting to be dealt with accordingly.

On the next day, he was released from custody and participated in a record of interview in which he denied the allegations.

The defendant was then charged with one count of arson.

Nickson Tonowane of Office of Public Prosecution is prosecuting and Thompson Fiuga from PSO represents the defendant.

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Court to hear application to dismiss charges in fraud case

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A gavel rests on sounding block next to a brass scale of justice in front of a long row of law books on a desk in a law office. Photographed with a very shallow depth of field.

BY ROMINAH FAKA

The Magistrate Court is scheduled to hear an application for the dismissal of charge or a stay of proceedings in a fraud case involving three defendants on July 9. 

The matter will be heard before Principal Magistrate Elma Veenah Rizzu Hilly.

Defendant Chief John Kokoro Clinty, Chief Alosi Jonah Taka and Jerry Madada Pakivai are jointly charged with one count of false pretence, contrary to section 306 (a) of the Penal Code, read together with section 21 of the Penal Code. They pleaded not guilty to the charge.

On Wednesday last week, during the court hearing, defence submitted an application for a bail variation of bail conditions. The application was not contested by Prosecution.

Thus, court granted the bail variation and gave permission for the defendants to travel during the interim period, with the condition that they return by July 8.

In addition, the Pre-Trial-Conference (PTC) documents have been duly signed and filed by respective counsels.

The court will determine whether the matter proceeds to trial proper based on the outcome of the application to stay the proceedings or dismiss the charge.

Police alleged that on July 12, 2022, complainant Johnny Yeh, met with defendants Chief John Kokoro Clinty, Chief Alosi Jonah Taka, and Jerry Madada Pakivai at Coral Sea Resort Hotel to discuss matters related to the development plans for Robroy Island.

The defendants informed the complainant about the latest development concerning the reconciliation process with the Volaikana Soa Tribe.

It was further alleged that the defendants informed the complainant that the reconciliation works are still in progress, as both tribes (Volaikana Soa Tribe and Volaikana Tribe) had yet to reach an agreement on royalty sharing and other important tribal matters.

So, they allegedly needed more time to complete the reconciliation process in the near future.

The defendant requested complainant’s continued support in their reconciliation process, emphasizing its importance to the development of Robroy Island.

Upon hearing this, the complainant agreed and accepted defendants request for continuous financial support for their cause at the meeting.

On July 14, 2022, the defendant invited the complainant to Heritage Park Hotel for a meeting.

During the meeting, the defendants requested an allowance of $1,500 each for the seven chiefs and elders including themselves.

They also attached a letter dated 13 July 2022 address to the complainant company, requesting financial assistance for reconciliation purposes. Complainant upon seeing that, was satisfied and willing to provide support.

The allegations further stated that, at that time, the complainant did not know that a Memorandum of Understanding (MOU) had already been made between the Volaikana Soa Tribe and New Venture on July 8, 2022.

A total of $10,500 was given to the defendants for reconciliation purposes, as requested.

The allegation also stated that the complainant gave $1,500 in cash to defendant Alosi Jonah and another $ 1,500 in cash to Jerry Pakivai in Honiara. The remaining $7,500 was deposited into defendant Kokoro personal BSP bank account on 16 July 2022 by POB, Greenland Enterprise Limited.

On July 18, 2022, the money was transferred to defendant Kokoro’s personal BSP bank account.

Police alleged that the contents of the Memorandum of Understanding (MOU) confirmed that Volaikana Tribe and Volaikana Soa Tribe had completed their reconciliation and both tribes agreed to allow New Venture Limited to conduct Logging Operations on Robroy Island.

The complainant was not happy with what happened and reported the matter to the Fraud Squad at Rove Police Headquarter on February 13, 2025.

The defendants were subsequently arrested and charged and bailed.

Defendant Kokoro Clinty participated in a Record of Interview and denied receiving the $7,500.

Defendant Jonah Taka, during his record of interview, admitted receiving $1,500 but denied meeting with the complainant at Heritage Park Hotel.

Defendant Pakivai in record of interview remained silent when he was questioned about the allegations.

Mr. Lazarus Kwaiga from L&L Lawyers represent defendant Kokoro and Joseph Iroga of Florida International Legal Service represent Pakivai and Taka and Leonard Chite from Bridge Legal and Consultancy firm special prosecutor assigned by Office of Public Prosecution to prosecute the case.

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Man to be sentenced today for assault

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BY ROMINAH FAKA

A man who pled guilty to assault is to be sentenced this morning at the magistrate’s court.

Flex Asuana, 38, was charged with one count of assault causing bodily harm. He pleaded guilty to the charge.

The court heard that the incident occurred on December 22, 2022, at around 9.15am.

The complainant was at the Borderline bus stop market area chewing betel-nut before heading home.

Suddenly, the defendant approached him from behind and pulled his basket. When the complainant turned around to see who it was, the defendant picked up a piece of timber and strike him on the right hand, causing injury to his little finger.

As a result, the victim sustained an open wound and swelling on one of his fingers on his right hand.

After the incident, the complainant reported the matter to Naha Police, who then arrested the defendant who was formally charged with one count of assault causing bodily harm.

Philip Muliungu from Police Prosecution department is prosecuting and Kevin Maelanga act for the defendant Flex.

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Strong wind warning

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By Ben Bilua

Solomon Islands Meteorological Service is calling on small boat operators to take extra precaution as strong wind continues to pose risk to travelers.

A general southeast trade wind flow reaching 20 to 25 knot is persistent over Rennell/Bellona, Makira, Temotu, Malaita, Guadalcanal and Central Province.

Sea will be moderate and rough at times with moderate swells up to 2.5 metres.

People in the concerned areas must take precautionary measure to avoid lives and properties at risk.

Sea travelers, especially small boats are urged to consider safety as such wind speed can produce dangerous waves.

The strong wind warning is current for waters of Rennell/Bellona, Makira, Temotu, Malaita, Guadalcanal and Central Provinces.

Next strong wind warning update was issued at 7am this morning.

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