Lilo said the growth was the result of improved relationship Solomon Islands has with its development partners and the export of commodities.
He said the government has been working very well under the theme of reform with the International Monetary Fund and has been able to make big improvements.
Lilo said with a healthy economy, the country has a strong resilience to absorb any externalities happening in the European economy and it is important that this continues.
But he also clarified that the government budget would have to be re-invested into areas that will further create prospects for development to take place such as agriculture.
“With that sort of growth, we need to reinvest in areas that will further create the prospect for that development to happen. For instance, in the government budget we can show to you in terms of the distribution Gross-Domestic Product which is the measure of the economic growth, we can show to you how much went to agriculture, how much went fisheries, to clearly show why we are allocating these resources because we want in return good investment for the GDP to grow stronger.”
Lilo said the NCRA government is also reviving “growth centers,” an old idea from the colonial days.
Lilo said in the past growth centers were basically for governance and less emphasis about investment or development.
He said Solomon Islands needs to go beyond having just administration centers but to venture into investment and development to realize an improved livelihood for the people.
Lilo said the government will consider various conditions in implementing its policy growth centers in the country.
“We target the areas which have the natural potentials. We put growth centers where there is human settlements in terms of the highest population distribution. So that we can create an environment so that people can become more entrepreneur.”
Lilo said the growth centers would create an environment for employment, income generation and distribution of wealth.
