Solomon Islands

In Solomon Islands, PSDI is supporting reforms that address ongoing constraints to business activity and investment, and promote inclusive, sustainable private-sector growth. 

Solomon Islands has actively sought and implemented reform initiatives with significant support from PSDI. We have worked with the Government of Solomon Islands to: 

• Develop a secured transactions framework, including the development of an electronic registry and providing ongoing support to lenders;

• Support the Central Bank of Solomon Islands and the Ministry of Finance and Treasury in the preparation of a new credit union legislation;

• Modernize business laws and registration processes, including: assisting in the development of a new Companies Act and the launching of an online companies registry; supporting the introduction of a community company structure; simplifying the business name registration process; and assisting in the creation of a modernized customs and excise regime;

• Strengthen competition and consumer protection, through the development of a competition policy and providing support for a Competition Bill;

• Strengthening state-owned enterprise policy, performance, governance, and transparency;

• Promoting women’s economic empowerment, through pilot projects, and legislative review; and

• Supporting reform through advocacy and analysis, including completing a private sector assessment for Solomon Islands in 2016. 

Resources and Spending

Solomon Islands has been a leading reformer in the Pacific region, actively seeking and implementing reform initiatives with significant support from PSDI. At $5.7 million, it has received the second-largest share of PSDI funds, behind Papua New Guinea.

Business law reform activities account for 43% of PSDI’s spending in Solomon Islands since 2007, funding initiatives such as customs and company law reform, including the procurement of an online companies registry. Initiatives supporting state-owned enterprise (SOE) reform account for 25% of overall spending and have led to the installation of a community service obligation framework, the development of shared accounting services,  the successful privatization of three SOEs, and a new SOE ownership policy. Financing growth initiatives, which account for 16% of overall spending, have underpinned secured transactions reform, a review of the regulatory framework for microfinance and mobile banking, strengthening the National Provident Fund, and the development of a Credit Union Policy. 

On this website, $ refers to US dollars unless otherwise stated.

For detailed information on PSDI activities in Solomon Islands, download the April 2020 PSDI Country Overview here.