Page 11 - IB Jan 2018
P. 11

2018 Outlook                         At the ballot         Professor Brij Lal on Fiji   Politics      Why Narube joined the race
                                              elections P14                   for Parliament P15


                                          DELPA and the National Federation Party,
                                          the two have not been able to strike a pact.
                                          The country has instead saw new parties
                                          being registered to contest the 2018 elec-
                                          tions including the Hope Party and Unity
                                          Fiji Party.
                                            His  minister  for  economy,  Attorney
                                          General Sayed-Khaiyum has not been the
                                          most popular of all his cabinet ministers,
                                          but even his critics would agree that the
        elections with his deputy and powerful   man’s handling of the huge devastations   constituency, Rick Houenipwela. Beyond
        Attorney General Aiyaz Sayed-Khaiyum.   caused by Severe Tropical Cyclone Winston   his country, he is known as Rick Hou and
        The party has already asked for expres-  in February 2016 was nothing less than   remembered particularly for his coura-
        sions of interests from people who want   remarkable. With a damage bill of more   geous and no-nonsense administration
        to contest the elections under their FPP   than $1 billion (USD487m), Sayed-Khai-  of the Central Bank of Solomon Islands as
        banner.                           yum introduced a raft of relief measures   its governor during the years his country
         Being the first Pacific Island leader to   using a combination of foreign aid support   went into ethnic and civil conflict.
        head the UN’s Conference of the Parties   and the country’s superannuation fund   After  Manasseh  Sogavare  lost  the
        negotiations on climate change, and also   to help individuals and property owners   prime ministership in a confidence mo-
        being the first islander to chair for one   rebuild and rehabilitate. And while eco-  tion last November, Houenipwela crossed
        year the powerful lobbying bloc, G77 plus   nomic growth slowed down in 2016,   the floor from the opposition to join
        China, Bainimarama will be going into   Fiji’s economy still registered a 2   Sogavare’s minority government with
        the polls proud of his achievements   per cent growth rate in that year.  six other colleagues who are members
        and determined to secure his second    “Growth is forecast to rebound   of the Democratic Alliance Party. As far
        electoral victory.                    to 3.6 per cent in 2017 before   as parties go, the DAP won the most
                                              softening to 3 per cent in 2018,”   Hou  parliamentary seats in the 2014 gen-
         The first time he took to the polls,  Voreqe
        in September 2014, after eight years   noted the United Nations ESCAP So-  eral elections, although the independents
        of military rule when he ousted the gov-  cial and Economic Review report on the   including Sogavare formed the majority
        ernment of then Prime Minister Laisenia   Fiji economy. “Tourism-linked  sectors   with 32 seats.
        Qarase in December 2006, Bainimarama   and  post-cyclone  reconstruction  work   Now as Houenipwela leads his country
        had several innovative and never before   are expected to drive the economy. Aided   into the next general elections this year,
        seen policies to sell to voters. Foremost and   by government financial assistance and   there’s lots of hope and optimism that he
        one that attracted many votes was his free   subsiding inflation, private consumption   will have time to apply his magic into Solo-
        education policy for year 1 right through to   should increase as households restock   mon Islands’ economy. With RAMSI, the
        year 13 students, as well as free bus fare   consumer goods and rebuild houses.   Regional Assistance Mission to Solomon
        for students and the elderly. A common   “In contrast, the preferential access of   Islands that Australia funded and the rest
        name for all in Fiji, irrespective of ethnicity   sugar from Fiji to markets in the Euro-  of members of the Pacific Islands Forum
        won him a lot of votes as well among the   pean Union is scheduled to end in 2017.   supported formally withdrawing from the
        Fiji Indian voters especially.    Similarly on the downside, despite higher   island nation in June last year, the former
         His  election  strategists  will  have  to   capital  spending  budgeted  for  recon-  central banker has his job cut out for him.
        come up with something new this time   struction activity, shortages of essential   People complain of chronic corruption
        around. His achievements in the world   building materials and skilled labour may   and corrosive abuse of public funds. 2018
        stage while historic may not win him as   continue to delay some major construction   may reveal whether the new PM would
        many votes as he would like. His oppo-  work. Sustaining the country’s medium   have enough time to tackle these and
        nents will undoubtedly drew attention to   term  growth  will  depend  on  effective   many more. He had said following his
        the high salaries including the exorbitant   implementation of structural reforms that   election that the economy would be his
        daily travel allowance he is paying himself,   are aimed at enhancing the business cli-  upmost priority.
        as well as the chaos caused by major road   mate, strengthening the civil service and   According to UNESCAP’s Social and
        construction and repair work that seemed   State-owned enterprises and removing   Economic  Review  report,  capital  in-
        to be happening all at once in major urban   impediments to land use.”  vestments in communication and tuna
        centres of the country.                                              processing capacity will be the driver of
         His ministers’ handling of the compul-  Solomon Islands             economic growth in Solomon Islands.
        sory electronic transport card system and   Much has been said and written about   “Economic growth in Solomon Islands
        the dispute at the Nadi airport ground   the fickle nature of leadership in Melanesia   was largely steady at 2.7 per cent in 2016
        handling company, Air Terminal Services   with the exercising some say willy-nilly   relative to 2.9 per cent in 2015. Construc-
        might cost him some votes too, but many   almost with no regard for its economic and   tion activity and new investment in com-
        observers agree that the disunity among   political costs of no confidence motions.   munications and fisheries-processing ca-
        his foes may be the key that would return   However the outcome of such a vote   pacity supported the economic expansion.
        Bainimarama to another four years in   in the national parliament of Solomon
        power. Instead of calls for a grand coalition   Islands last November could not have   Continued overleaf
        between the two main opposition parties   produced a better candidate for prime   web link:
        currently represented in parliament, SO-  ministership than MP for Small Malaita   www.islandsbusiness.com


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