Page 14 - IB FEB 2018
P. 14

Politics




                                                                               continuation of the controversial constitu-
                                                                               ency development fund (CDF), which he
                                                                               said would be included in the 2018 budget
                                                                               and future national budgets due to its
                                                                               popularity.
                                                                                “Given its preference amongst the elec-
                                                                               torates there is every reason to believe
                                                                               that CDF will continue to be a feature of
                                                                               SI annual budgets.”
                                                                                He further revealed that his government
                                                                               has not made any budget allocation for
                                                                               compensation payout to the ex-combat-
                                                                               ants in the country’s 14 years of ethnic
                                                                               tension.
                                                                                Discussing his relations with his pre-
                                                                               decessor Sogavare who is also his deputy
                                                                               and Finance Minister, PM Houenipwela
         Rick Hou with his deputy and Finance Minister Sogavare to his right. Photo: File
                                                                               said they enjoyed a cordial working rela-
         Budget is PM Hou’s priority                                           tions.
                                                                                “We  consult  regularly  not  only  on
                                                                               matters of finance and the economy but
                                                                               also on other issues. Mr Sogavare is not
        Former banker                       “This budget will be realistic, we will only   only the Finance Minister – he is also my
                                                                               deputy, so I have to keep that in mind.”
                                            spend what we earn.” Also a priority is a
                                            new anti corruption bill, which his new   Giving an insight on his new job, the
        promises cuts                       government is determined to bring to   MP for Small Malaita said he was grate-
                                            the floor of parliament as soon as it is
                                                                               ful to the support by a solid coalition of
                                            cleared by the bills and legislation com-  four political parties with his own party
        in government                       mittee through its public hearings. The   of eleven members.
                                            bill was first introduced in parliament by
                                                                                He said that in his previous work as
        spending                            the previous government of Manasseh   Governor of the Central Bank of Solomon
                                            Sogavare but he was forced to withdraw it
                                                                               Islands, the rules of the game were very
                                                                               clear and that he said shaped his approach
                                            following pressures from his own caucus
                                            and supporters.                    to decision making.
                                             In  an  exclusive  interview  with  this   He  believes  that  his  background  in
                                            magazine, the Prime Minister said he   leadership and executive management
                                            was confident that government finances   would come in handy at this new job of
                                            have come under control. “Besides, with   leading his nation and where the rules are
                                            the firm management by the Honourable   not so clear.
                                            Minister of Finance, within two months   “It is helpful to have strong negotiation
             By Mereseini Marau-Totoka      revenue collections have been good and   skills, while at the same time one has to
                                            for the first time the government has been   remember that in a democracy such as
         TWO months in the hottest seat of Solo-  able to pay up all its normal creditors and   ours, one has to learn the art of compro-
         mon Islands politics, Prime Minister Rick   outstanding payments. “   mise,” he said.
         Houenipwela is already geared up to steer-  Former Prime Minister Manasseh So-  Asked by Islands Business about his
         ing his country to a new direction with the   gavare is the Finance Minister and also   Government’s position on West Papua, PM
         passing of his government’s 2018 National   Deputy Prime Minister. Houenipwela said   Houenipwela said that it was an important
         Budget as his foremost priority.   revenue collections have picked up so well   policy matter which his new government
          Focused on his new calling, the former   that by the end of last year, the Customs   has yet to take a position on.
         central banker has listed a few priorities   Department alone had collected for the   In replacing Sogavare last November,
         that he needed to address urgently in this   first time $1 billion (US$128.857m) in   he automatically assumes the position of
         new year. Topping the list is the passing of   revenue.               chair of the Melanesian Spearhead Group,
         the 2018 National Budget, which he hopes   “This is a significant milestone in Solo-  a sub-regional grouping of Melanesian na-
         to do in next month’s sitting of parliament.  mon Islands Customs revenue collection   tions that are Solomon Islands, Vanuatu,
          As  the  head  of  government,  PM   history. I believe we have instilled stability   Fiji, Papua New Guinea and the Kanaki’s
         Houenipwela’s other priorities for this   and confidence in the community which   political grouping in French-controlled
         year  include  stablising  his  country’s   is impacting positively on the business   New Caledonia, the FLNKS.
         political and fiscal situations as well as   and donor community. This confidence   Houenipwela said his priority would
         implementing the government’s selected   will have further positive impacts on the   be to hand the chairmanship of MSG to
         priority infrastructure projects.  economy this year and in the medium   his Papua New Guinea counterpart Peter
          Expect the 2018 budget to be lower than   term.”                     O’Neill this month.
         those of the previous years, he promised.   Another issue he highlighted was the   r mememarau@gmail.com

         14 Islands Business, February 2018
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