BY JOHN HOUANIHAU

Economic growth in the Solomon Islands has been described as ‘taking one step forward and two steps backwards’.

Central Bank of Solomon Islands CBSI) Governor Dr Luke Forau said this when he launched the 2024 CBSI Annual Report and reflecting on the economic recovery five years after COVID-19.

The Governor said that the country has a long way to go, despite progress having been made.

“Before we return to our theme, let’s take a look at where we stand, five years after the pandemic. we’ve made progress. But we still have a long way to go. Between 2014 and 2019, our economy grew at an average of 2.7%. In 2020, it fell by 3.4%. A modest recovery followed in 2021 with 2.6% growth.

“Now, growth hovers around 2.9%, on average better than our worst moments, but still far from our full potential. However, much of that growth came from a single event — the Pacific Games. Strip that away, and it becomes clear: we are not growing fast enough, not broadly enough. We are growing at a pace with one-step forward and two steps backwards. And if you look carefully at our current state of play, we are reversing in development,” he said.

The theme for the lunch was: “Building the future we want through determination with a clear goal and a shared ownership that calls for collective urgent action to deliver excellence”.

“To realise the future we envision for our country, we need more than predictions; we need a clear plan and commitment,” stressed Forau.

He explained that two possible growth paths ahead for the country, the baseline scenario (1) and the ambitious scenario.

“The ambitious scenario is not wishful thinking. It is bold, yes, but it is achievable. We have achieved even higher growth rates before. Now, it calls for a clear goal and ownership, dedication, coordination, and strong commitment to urgently deliver, just as the Pacific Games demanded of us,’’ he said.

“Let’s examine each scenario. These inferences will impact our well-being. under scenario 1, more of the same (or status quo), the economy remains on its current path, with growth hovering at around 2.5% annually through to 2030. Agriculture sees production level growing at the same current pace, with some gains in palm oil output, but with continued underutilisation of resources in the cocoa and copra sectors. Manufacturing and trade expand slightly, but not fast enough to lift families out of poverty or meet the rising demand for employment opportunities for our growing youth population,” explain Forau.

He said that scenario 1 does not spell failure for the country, but it lies far below the country’s potential, and it is not transformative in the manner the current economic and historical junctures require.

“This growth model has also historically been centred around a minute number of core commodities, and it has thus been far from inclusive. We must also address, and indeed capitalise on, our high population growth in our economic thinking and planning, and I am afraid we will not be able to do so under this ‘business-as-usual’ scenario,” said Forau.

He said that under scenario 2, an ambitious, bold, coordinated, is what a national push the country must aim for.

“Under this scenario, we target the economy to achieve a sustained growth of at least 5% each year. This would triple Agricultural output, with Cocoa production increasing from 5,000 tons to 15,000 tons, Copra output increasing from 10,000 tons to 30,000 tons, Coconut oil production expanding from 5,000 tons to 15,000 tons, and Palm oil output tripling to 72,000 tons each year.”

He said that this would require a shift towards value-added processing and the processing of raw exports to finished products, such as turning copra into coconut oil, cocoa into chocolate, lifting manufacturing beyond the one-billion-dollar mark.

“Trade opportunities will expand, introducing our unique products to new markets across the Pacific and beyond when Solomon Islands becomes a renowned processing hub, where the raw products with which nature bountifully bestows us are transformed by our hands and our machines into beautifully crafted manufacturing goods,” he said.

However, he said that this won’t happen by chance. It will take deliberate, sustained, and united action.

The Solomon Islands Council of Trade Unions (SICTU) yesterday issued a firm call to all its affiliated unions and public sector workers to refrain from engaging in or influencing the current political situation involving national leaders.

The Council emphasised the critical need for public officers and workers to maintain professionalism, neutrality, and maturity in service to the nation, the statement from SICTU yesterday said.

In a statement, SICTU President Mr Tony Kagovai reminds affiliates that, “as public servants and workers, our primary duty is to the people of the Solomon Islands. Regardless of political developments, we must remain committed to delivering services impartially and upholding the integrity of our roles. Engaging in political matters risks undermining public trust, destabilizing institutions, and diverting focus from our core mission: serving the nation”.

SICTU urged its affiliates to stress to their members that Public officers are bound by ethical obligations to serve any duly constituted government without bias. Political neutrality is essential to maintaining stability and continuity in public services.

Workers must avoid actions or statements that could deepen divisions or inflame tensions. Maturity and restraint are vital during periods of political uncertainty.

SICTU reaffirms its commitment to democratic governance and urges all parties to resolve differences through lawful and peaceful means.

The Council further directed affiliates to communicate this position to their members and reinforce expectations of compliance with public service codes of conduct. 

“Our role is not to judge political decisions but to ensure the machinery of government functions smoothly for the benefit of all citizens,” added Kagovai.

While acknowledging workers’ rights to personal opinions, SICTU cautioned that public roles demand discretion. The statement concluded with a call for leaders to prioritise dialogue and the national interest.

SICTU remains dedicated to protecting workers’ welfare and fostering a stable, prosperous Solomon Islands.

BY INDY MAEALASIA

THE 29th Pacific Islands Telecommunications Association (PITA) Annual General Meeting (AGM), Business Forum and Expo currently underway in Honiara, is providing a vital platform for Pacific telecommunication providers to share experiences, address common challenges, and explore practical solutions, said Gimson Waibala, Chairman of the Host Organizing Committee.

In an interview with this paper, Waibala explained that the purpose of PITA is rooted in addressing the unique challenges faced by Pacific Island nations in the areas of internet technology, security, and digital connectivity.

“PITA was formed in response to the challenges we face in the Pacific Islands, particularly in areas like internet technology, cybersecurity, and digital connectivity,” Waibala said.

“This platform allows us to raise important questions and, more importantly, to provide solutions to our telecommunication providers across the region.”

Given that this is the second time Our Telekom has had the honor of hosting the PITA AGM, Waibala emphasised the significance of the event in bridging gaps and solving regional telecom issues.

“PITA is here to help us identify gaps and find solutions for telecommunication, ICT, cybersecurity, and everything that falls under technology,” he added.

Waibala expressed hope that, by the end of the forum, Pacific telecom providers will walk away with concrete solutions to their challenges.

“By the end of the forum, it won’t just be Our Telekom, but all the telecommunications providers across the region who will have answers to the problems they are currently facing,” Waibala said.

“For example, if Our Telekom is facing certain issues, PNG Telecom might have answers or solutions that can benefit the entire region. This is where information sharing and collaboration come into play.”

In addition to the discussions among telecom providers, Waibala highlighted the valuable role of solution providers at the event, offering specialized services to address specific problems faced by telecom companies.

“This forum isn’t just about discussion. We have technology providers here who are offering tailored solutions to help resolve the challenges our telecom companies face,” Waibala added.

The PITA kickstarted on April 28 and will conclude on May 2 with the theme “Smart Blue Continent: Strengthening Digital Soverinity and Connectivity for a Resilient Pacific Future”.