Page 15 - IB FEB 2020

Politics Politics

illegally. “If we can establish an ICAC with the ability to investigate
The Commission of Inquiry, led by Sir Salamo Injia, a former and prosecute, we’ll make a major step forward to
chief justice and retired Australian judge John Gilmour, began combatting corruption,” he says.
its hearings in mid-January and is expected to report back to He’s been told by the current Prime Minister and Deputy
Marape by July. Prime Minister, who is also the Attorney-General, that an ICAC
Transparency International’s Aitsi points out the would be established in 2020.
Ombudsman Commission last May described the UBS deal “Based on our engagement with the Department of Justice,
as ‘highly inappropriate’ and ‘speculative’, and says he’s we expect that may well be achieved by November 2020.
sceptical about the outcome of the Injia Inquiry. Overcoming corruption has huge economic benefits.
“The reason I say that is that past Commissions of Inquiries International accountancy firm Pricewaterhouse Coopers
have tabled their reports and there has been scant follow (PwC) has used global economic data to estimate the benefits
through. Individuals identified as being involved in corruption of even a small improvement in PNG’s score.
through a Commission of Inquiry have not been pursued with That analysis shows that just a one-point improvement
regards criminal or legal proceedings against them.” in PNG’s corruption score could boost the economy by K10
The only hope, he believes is a permanent anti-corruption billion. That is equivalent to a 14% increase in PNG’s Gross
commission, similar to ones in Hong Kong, New South Wales Domestic Product or K1,200 for every man women and child in
and Queensland, which have the powers to investigate the country.
politicians, public servants and businesspeople suspected of
corrupt behaviour. editor@islandsbusiness.com

Business

FNPF CHALLENGES…AND REGIONAL

OPPORTUNITIES

with payments.
In terms of extending its coverage to the informal sector,
the FNPF hopes to better assist its 125,000 members who fall
into this category.
A detailed breakdown of this figure showed that 8,000
are farmers, 2,500 seasonal workers, 9,000 taxi drivers and
25,000 are domestic workers.
The reality of the discovery is that 128,000 members are
retiring with low balances and 125,000 of these work in the
informal sector.
FNPF CEO Jaoji Koroi stated: “the reality is now a problem
Fiji’s Finance Permanent Secretary Makereta Konrote and ISSA President Professor and talking about it with the stakeholders should give us ideas
Joachim Breuer
of what can we can do to address these issues.”
The FNPF says these groups are susceptible to social
By Alipate J Pareti problems, are unable to afford social protection and
continued cycle of old age poverty.
The Fiji National Provident Fund continues to be concerned Meanwhile the International Social Security Association
by low levels of savings by its members on retirement and the (ISSA) has opened a branch in Fiji, hosted at FNPF, which aims
need to extend its coverage to the informal sector. to foster better social security and protection for the Pacific
The FNPF says that in 2019, 66 per cent of its members due region.
to retire at some point over the next ten years have balances Currently only Samoa and Fiji are members of ISSA,
below F$10,000 (US$4561). although the Association hopes other regional countries will
It says 88 per cent of its members earn below F$30k join.
(US$13,864) per annum and 49 per cent withdraw funds for “ISSA is an organisation recognised for looking after social
housing and other related family assistance within the social security and protection for countries all over the world and
benefits scheme of the fund. FNPF has a lot to learn from them,” Jaoji Koroi said at the
However on a more positive note, 32 per cent of members branch launch.
continue to consistently contribute to savings within the fund.
FNPF highlighted 3,200 members have not fully complied editor@islandsbusiness.com

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