BY NED GAGAHE
Governor of the Central Bank of Solomon Islands (CBSI), Luke Forau, has cautioned that while the country’s economy is growing, the benefits are not being felt evenly across the population.
Speaking at the launch of 2025 Annual Report Forau said the economy expanded by 3.6 per cent in 2025, up from 3 percent in 2024, driven largely by mining, construction, and other key sectors.
However, he said that this growth is not broad-based and is failing to adequately reach ordinary Solomon Islanders, particularly those in rural communities.
“We are growing, but not in a way that reaches everyone,” Forau said.
He said that much of the growth is concentrated in sectors such as mining and construction, which tend to be capital-intensive and generate fewer widespread benefits compared to sectors like agriculture.
“As a result, many households are not fully benefiting from the economic expansion,” he added.
Forau said this raises concerns about inclusive growth, noting that development should improve livelihoods across all provinces, not just within a few industries or urban areas.
He emphasised the importance of shifting focus toward sectors that have a broader impact, especially agriculture and small-scale enterprises, which employ a large portion of the population.
“Growth must be inclusive. It must reach our communities, our households, and create opportunities for all,” he said.
The CBSI Governor warns that if the current pattern continues, it could lead to widening inequality and limit progress toward national development goals.
He calls for coordinated efforts from government, the private sector, and development partners to ensure that economic gains are more evenly distributed.
“While the headline numbers are encouraging, the real test is whether our people are feeling the benefits in their daily lives,” Forau stated.
He added that building a more inclusive economy will be critical to achieving long-term stability and sustainable growth in the Solomon Islands.
Photo: Ned Gagahe
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