THE future of economic growth of the country depends on three sources.
– The services ( commerce, etc.) for 20 %
– A small industry about 22 %
– The agriculture (45 %) which include essentially logging
– Other sources of growth, which are promising, are virtually untapped, tourism 2% and mining 4%
Senior Economic Advisor in the Ministry of Finance and Treasury, Richard Brun said the main present source of growth is agriculture, but contributes little if we exempt logging.
Mr Brun said mining is very promising, however this potential resource is nearly untapped.
“Tourism is also a very promising potential resource, but it seems almost untapped (no more than 5000 real tourists per year,” he said.
“The potential is at least 20 times higher,” Mr Brun added.
Furthermore, he said compared to other Pacific Islands, Solomon Islands is not in a good position.
He said this is because:
– SI has the highest public expenditures
– It receives a high level of grants (above the average Pacific countries)
– Despite this, taxes are the highest in the Pacific countries
– Investment is the smallest in Pacific countries
– Evolution of GDP/capita almost the smallest in Pacific islands (GDP/capita is the second lowest in the Pacific)
By EDDIE OSIFELO