BY SAMIE WAIKORI
The Minister for Finance and Treasury of the Central Islands province (CIP), MPA Dagnal Meleha, has provided an overview on the expenditure of the recently approved $34,381,840 budget for the 2026/2027 financial year.
The budget comprises of SBD $8,231,685 in recurrent expenditure and $26,150,156 in capital expenditure.
Minister Meleha explained that recurrent expenditure will primarily cover staff salaries and benefits, as well as operational costs, while capital expenditure will fund key development projects across the province.
Meleha said under recurrent expenditure, staff salaries and wages are projected at $4,235,144, representing a 23 percent increase from last year’s budget.
He added that the increase is attributed to the inclusion of Ward Support Officers’ salaries and measures to standardise employee leave entitlements starting this year.
The Minister noted other operational expenditures, which include funding for divisions’ annual work plans, estimated at $3,996,541 for the fiscal year.
Regarding the capital budget, he said CIP will continue to invest in both ongoing and new development projects under its transformation agenda, including micro-ward development grants.
The capital budget of SBD $26,150,156 is allocated as follows:
PCDF – SIG/IEDCR/LoCAL/UNDP Projects:
- Administration projects (12 percent) – SBD $1,877,383
- Economic/Productive Resilience projects (54 percent) – SBD $10,615,142.47
- Social Infrastructure projects (24 percent) – SBD $3,220,146.70
- General Investment Servicing costs (10 percent) – SBD $1,630,385.42
Other SIG Capital Projects:
- Nambawan House Reconstruction – SBD $174,328
- Tulagi Historical Sites Development – SBD $1,000,000
- Nambawan House Museum Exhibition – SBD $2,590,936
- Provincial Youth & Children Resource Center – SBD $2,762,738
- Tourism Operators Support Carry-Forward Grants – SBD $244,950
The Minister also announced that the Ward Development Grant for this year totals to SBD $1,145,092, with an allocation of SBD $88,084 per ward, marking a 2 percent increase from the previous year.
The grant is reallocated from recurrent expenditure to the capital budget to balance the differences between revenue and spending.
Meleha cautioned that budget projections inherently carry risks, as experienced in previous years and as a responsible government, they remain committed to enforce financial discipline, strengthen budget management, and pursue reforms to address ongoing challenges.
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