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We need cohesive economic policy: Hon Wale

MEMBER of Aoke/Langalanga says the country needs cohesive economy policy to guide the government in the sense of direction and priority, especially in the fiscal policy.

Speaking on the Sine Die motion last week, Hon Matthew Wale said there is lack of cohesive economic policy informing Government’s development efforts.

He explained that the country has the national development strategy but the way the strategy finally end up in the budget is questionable.

“Because of this apparent gap, the Central Bank is left in a situation where they use monetary policy as a counteracting tool.

“We have seen this has not quite serve the economy well as monetary policy is positioned in damaged control mode as opposed to a constructive, complimenting of government’s fiscal policy towards agreed overall economic policy goals,” Hon Wale said.

He suggests the government should consider convening a forum on economic policy to identify policy goals and benchmarks for a sustainable economic growth for the next 30 years.

Hon Wale said such intervention is important for the government to seek broader views on economic policy and sooner the better.

He said Solomon Islands has comparative advantages in agriculture, tourism, fisheries and minerals are all future prominently in such an overacting sustainable economy policy.

Hon Wale said he will be watching closely on the government’s refocus budget later this year to see if the budget target growth sectors in any meaningful way.